India’s CPI fell to 1.55% YoY in July 2025 (from 2.10% in June), the lowest since June 2017, while food inflation (CFPI) dropped further to -1.76% YoY (vs -1.01% in June), marking the weakest food price growth since January 2019.

• Rural CPI eased to 1.18% YoY (vs 1.72% in June) and urban CPI slowed to 2.05% YoY (vs 2.56%); rural food inflation was -1.74% YoY and urban -1.90% YoY.
• Declines were driven by lower inflation in pulses, vegetables, cereals, transport & communication, education, eggs, and sugar.
• Housing inflation was steady at 3.17% YoY (vs 3.18%), education inflation fell to 4.00% (vs 4.37%), while health inflation edged up to 4.57% (vs 4.38%).
• Transport & communication inflation dropped sharply to 2.12% YoY (vs 3.90%), while fuel & light inflation rose slightly to 2.67% (vs 2.55%).