New Delhi

Indian households are expecting inflation pressures to soften further over the next three months and one year, according to the Reserve Bank of India’s latest Households’ Inflation Expectations Survey.

The survey, conducted between November 1 and 10 across 19 major cities with 6,061 respondents, recorded a sharp drop in inflation perception. The median perception of current inflation declined by 80 basis points to 6.6%, compared to the previous round.

Inflation expectations also cooled for the near term:

Three-month ahead expectations fell by 50 bps to 7.6%

One-year ahead expectations dropped by 70 bps to 8.0%

The survey noted a continued decline in the proportion of households expecting a rise in both general prices and inflation. Respondents reported easing price pressures across food, non-food products, and services.

Key findings include:

Share of households expecting food price rises in the next three months dropped from 79% in September to 74.9% in November

Expectations of price increases for non-food items fell to 67.8%, from 73.4% earlier

One-year-ahead inflation expectations also moderated across all product categories

Household durables saw the sharpest shift in sentiment, with only 68% of respondents expecting price rises — down from over 78% earlier this year. Expectations around housing and services, while still elevated, also recorded easing.

The moderation was broad-based across age groups, employment profiles, and gender. Current inflation perception ranged from 6.1% among respondents aged below 25 years to 7.4% among those aged 35–45, but every category showed a decline from previous rounds. Homemakers and retired respondents — typically more sensitive to inflation — also reported reduced price pressures.

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Overall, the survey pointed to a continued easing in inflationary expectations among Indian households.