Retail inflation may reduce by 35 basis points in FY25-26; driven by GST reforms: Report

GST reforms are projected to reduce retail inflation by up to 35 basis points in 2025-26, with an estimated 25 basis points decline already observed between September and November 2025 due to rate adjustments. While Kerala faces higher inflation driven by specific commodity prices, national CPI is expected to average 1.8% in 2025-26.

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