Delhi Inflation Rate Lower Than Other Metros: Govt Report

The inflation rate in Delhi remained substantially lower than in other metro cities and the national average last year, especially in the fuel and light group, according to a government report.

The report prepared by the Directorate of Economics and Statistics of the Delhi government, however, showed that the inflation rate rose in the food & beverages and housing sectors.

The report assessed the Consumer Price Index (Industrial Workers IW) between Delhi and 14 other metros. These were Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Jaipur, Indore, Faridabad, Ghaziabad, Bhopal, Chandigarh, Varanasi, Amritsar and Lucknow.

The report said that during 2024-25, CPI (IW), Kolkata, recorded the highest increase (3.6%) while it was (3.4%) at the All India level, followed by Mumbai (3.0%), Delhi (1.8%), and no change was observed in the case of Chennai.

Among the selected cities assessed by the report, Delhi had the third lowest Consumer Price Index (IW) for the 2024 calendar year and the fifth lowest Consumer Price Index (IW) for the financial year 2024-25 out of the selected 15 major cities, while Lucknow and Chandigarh had the maximum Consumer Price Index (IW).

A Consumer Price Index (CPI) is designed to measure changes over time in the general level of retail prices of selected goods and services that households purchase for consumption.

In 2020, 2021, 2023, and 2024, Delhi had lower inflation rates than All India. However, in 2022, Delhi had a higher inflation rate than All India. Last year, the inflation rate in Delhi was 1.7%, and at the national level, it was 3.8%.

Inflation in Delhi, as measured by the CPI (IW), has ranged from 1.7% to 8% from 2020 to 2024. The price rise was recorded at 1.7% in 2024, compared to 3.7% in 2023.

In the food and beverages group, an inflation rate of 5.6% was observed in 2024, compared with 4.6% in 2023. In the paan, supari, tobacco and intoxicant group, no variation was recorded in 2024, whereas the inflation rate was 3.7% in 2023.

However, the report observed that the inflation rate stood at 1.3% in 2024, down from 5.1% the previous year.

In the housing group, an inflation rate of 3.1% was observed in 2024, compared with 2.2% in 2023. In the fuel and light group, a negative inflation rate of 20.1% was observed in 2024, compared with 3.7% in 2023.

The miscellaneous group consists of items falling under the categories of medicines, medical services, education services, stationery, recreation, transport and communication, personal care effects, household requisites and other services - hair cutting, tailoring, etc.

In the miscellaneous group, Delhi recorded an inflation rate of 0.1%, compared with 3.5% in 2023.