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India’s retail inflation drops sharply to multi-year low in October

India’s retail inflation fell to 0.
India’s retail inflation eased to 0.25% in October, marking the lowest reading in several years and strengthening expectations for a stable rate environment through FY26. The sharp moderation was driven by lower food and fuel prices along with improved rural supply chains. Economists believe the decline could prompt supportive liquidity measures from the Reserve Bank of India and encourage stronger household spending.
This sustained disinflationary trend enhances prospects for domestic consumption recovery and further stabilizes India’s macroeconomic outlook heading into 2026.