The annual inflation rate in India inched higher to 3.48% in April of 2026 from 3.4% in the previous month, marking the fastest inflation rate in one year, but coming in well below market expectations of 3.8%.
It was the fourth reading in India’s new CPI, which updated the weights of different goods within the index according to the Household Consumption Expenditure Survey from two fiscal years ago, increasing the weight of non-food goods int the domestic consumer basket.
Food inflation jumped to 4.2% from 3.87%.
Meanwhile, consumer prices refrained from increasing for a second month for transportation (-0.01% vs -0.05% in March) despite the increase in wholesale energy prices, as the surge in benchmarks due to the war in the Middle East and the weaker rupee lifted fuel costs.
In turn, prices for accommodation rose slower (1.71% vs 2.88%).
From the previous month, consumer prices rose by 0.27%.
