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An improved index
February 13, 2026
|Business Standard
New CPI will not affect monetary policy in the near term
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The new consumer price index (CPI) series showed that the inflation rate increased to 2.75 percent in January, up from 1.33 per cent in December (old series).
The food-inflation rate was 2.13 per cent. The composition of the CPI has undergone a significant change, along with the shift in the base year to 2024 from 2012. In a rapidly developing country like India, critical indicators must be regularly fine tuned to reflect the prevailing situation. However, the revision this time was delayed owing to a variety of factors, including the pandemic. Besides the new CPI series, released on Thursday, the National Statistics Office (NSO) will also release a new series on gross domestic product (GDP) later this month. Together, these will present a more accurate picture of the Indian economy and better inform all stakeholders, including policymakers.
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