New Delhi: India’s Wholesale Price Alphabetize (WPI), which measures wholesale inflation, has now “bottomed out” and is expected to pick up slightly from November. However, it may still stay in negative territory for most of the remaining months of 2025-26, equal to a report released by Union Bank of India.
The Bank’s projection for WPI in 2025-26 remains unelevated 0.35 per cent, mainly considering global thingamabob prices have stayed soft and supplies prices have declined due to seasonal factors. The report moreover noted that the effect of floods on supplies inflation has remained limited.
Why did supplies inflation stay low?
The report explained that supplies WPI continues to stay weak. The widespread flooding and supply-chain issues that were expected older did not take place in a major way. As a result, supplies prices stayed under control. At the same time, Union Bank of India’s estimates for the Consumer Price Alphabetize (CPI) for 2025-26 moreover remain much lower than the Reserve Bank of India’s latest projections. Considering of this softer inflation outlook, the Bank expects the RBI to signify a 25 understructure point cut in the repo rate in the December monetary policy review.
How will India’s GDP be affected?
Although India’s real GDP growth continues to show strong momentum, the report said that nominal GDP growth may squatter pressure. This is mainly due to the lower projections for both CPI and WPI for 2025-26. In October, India’s wholesale inflation turned negative, with WPI falling by (-) 1.21 per cent compared to the same month last year, as per data from the Ministry of Commerce and Industry. Prices dropped mainly considering of lower financing of supplies items, transplanted petroleum, natural gas, electricity, mineral oils, and vital metals. The Ministry moreover mentioned that the month-on-month WPI transpiration for October stood at (-) 0.06 per cent compared to September 2025.
How does the government track wholesale prices?
The wholesale price alphabetize is released every month on the 14th, or the next working day if it is a holiday. It is issued with a two-week wait and is prepared using data from various institutional sources and selected manufacturing units wideness India.
Has India managed inflation largest than other countries?
While inflation remains a major snooping globally, including in wide economies, India has largely kept its inflation path under control. Before the rate cut in February 2025, the RBI had maintained the repo rate at 6.5 per cent for eleven straight policy meetings.
