India's Headline Inflation Rises to 0.71% in November 2025, Driven by Food and Urban Prices
SDG 8: Decent Work and Economic Growth | SDG 17: Partnerships for the Goals
Ministry of Statistics and Programme Implementation (MoSPI) | National Statistics Office (NSO)
The Ministry of Statistics and Programme Implementation reported that that headline inflation (combined rural and urban) rose to 0.71% (Year-on-Year) in November 2025, a significant increase of 46 basis points from 0.25% in October 2025. This rise reverses a trend of consistently falling headline inflation since early 2025.
Key details from the November 2025 provisional data:
Urban vs. Rural Divergence: The primary driver of the increase was the Urban sector, where inflation surged from 0.88% to 1.40%. This is 14 times higher than the rural rate, indicating increased urban cost-of-living concerns. The Rural sector saw a sharp reversal, moving from a deflation of -0.25% to an inflation of 0.10%.
Food Inflation Easing: The overall Consumer Food Price Index (CFPI) deflation eased, rising by 111 basis points from -5.02%in October to -3.91%in November. This rise was mainly attributed to increases in prices for Vegetables, Egg, Meat and fish, and Spices.
Sub-Group Drivers: The combined CPI saw significant inflation in Personal Care and effects (24.04%), Oils and fats (7.87%), Fruits (6.87%), and Milk and products (2.45%).
State-Level Highs: Inflation remained significantly high in Southern and Northern regions. Among major states (population >50 Lakhs), Kerala recorded the highest combined inflation at 8.27%, followed by Karnataka (2.64%), and Jammu and Kashmir (2.31%).
Policy Relevance
The sharp and broad-based acceleration in price momentum (an increase of 111 bps in food inflation) signals that deflationary pressures are receding and core inflation risk is returning, potentially limiting space for future interest rate cuts. The significant urban-rural disparity, with urban inflation being 14 times higher than rural inflation (1.40% vs. 0.10%), requires nuanced regional monetary and fiscal interventions to target urban cost-of-living concerns without unduly restricting rural economic recovery.
Follow the full news here: CONSUMER PRICE INDEX NUMBERS FOR RURAL, URBAN AND COMBINED FOR THE MONTH OF NOVEMBER, 2025