Retail inflation rose to a three-month high of 1.33 per cent in December 2025 mainly due to higher prices of kitchen essentials, including vegetables and protein-rich items. The inflation was at 0.71 per cent in November. The previous high was 1.44 per cent in September.
The food inflation, based on consumer price index (CPI), remained negative for the seventh consecutive month at (-) 2.71 per cent, though up from (-) 3.91 per cent in November.
"The increase in headline inflation and food inflation during the month of December 2025 is mainly attributed to increase in inflation of vegetables, meat and fish, eggs, spices and pulses," the National Statistics Office (NSO) said while releasing the CPI data.
Retail remained below the Reserve Bank of India's lower tolerance limit for the fourth consecutive month in December.
The government has mandated the central bank to ensure inflation remains at 4 per cent with a margin of 2 per cent on either side.
Also read: CPI rejig on cards as inflation likely to remain low in 2026
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