New Delhi, Nov. 13 -- India's retail inflation has dropped to a historic low of 0.25% in October 2025, driven by a favorable base effect, continued easing in food prices, and the GST rate cuts. The record low CPI has sparked renewed debate over the timing and extent of monetary policy easing by the Reserve Bank of India (RBI).

While data appears to decisively tilt the balance toward a rate cut, the central bank may still tread carefully amid signs of resilient growth and credit market imbalances.

While deflationary pressure in the food category gathered momentum, the sharp rally in gold prices kept core inflation - which excludes volatile food and fuel prices - elevated at 4.4%. CPI inflation for September 2025 has also been revised dow...