September Retail Inflation at 5.54%: Tamil Nadu Records Highest at 6.81%

According to data released by the National Statistical Office (NSO), the country's retail inflation (CPI) rose to 5.54% in September due to rising food prices (rural: 6.08%, urban: 4.88%).

Tamil Nadu recorded the highest retail inflation in the country at 6.81%, followed by Odisha (6.70%), Madhya Pradesh (6.68%), and the lowest inflation was recorded in Mizoram state.

📚 School Textbook Link: 12th Standard · Economics · 12th Economics: Chapter 5 (Monetary Economics) & Chapter 6 (Banking) · Inflation, Consumer Price Index (CPI) and RBI Credit Control Instruments

🎯 TNPSC Exam Important Notes:

• September 2026 Indian Retail Inflation (CPI): 5.54% (Food Inflation: 7.74%; Rural: 6.08%; Urban: 4.88%).
• State-wise Inflation: Highest in the country is Tamil Nadu (6.81%), 2nd Odisha (6.70%), 3rd Madhya Pradesh (6.68%); Lowest: Mizoram.
• Organization releasing retail inflation data: National Statistical Office (NSO - Ministry of Statistics and Programme Implementation).
• RBI's statutory inflation target: 4% (±2% range, i.e., 2% to 6%) - Monetary Policy Committee (MPC).
• Repo Rate: To control inflationary pressure, RBI has set the repo rate at 5.50% and the 2026-27 inflation forecast at 5.2%.

📌 KEY FOR TNPSC:

• The Monetary Policy Committee (MPC) comprises 6 members headed by the RBI Governor (Article 45ZB, RBI Act 1934).
• During inflation, Debtors profit; Creditors and those with fixed incomes are affected.