Consumer inflation in country to stay low at 0.4% in Oct-Dec quarter: BoB

Consumer inflation is expected to stay very low in the October to December period of the current financial year, FY26, according to a report by Bank of Baroda.

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The report said inflation in this quarter is likely to be 0.4 per cent, which is lower than the 0.6 per cent estimated by the Reserve Bank of India (RBI). This is mainly because the prices of food items have gone down.

It stated “we expect CPI to settle at 0.4 per cent in Q3, slightly lower than RBI's projection of 0.6 per cent.

The report said that its in-house indicator, called the BoB Economic Conditions Indicator (ECI), is at -2.8 per cent for the first 11 days of December 2025. This shows that price pressure is weak and inflation is under control.