A complete history of inflation in India since the 1960s
This article provides a reference list of inflation in India every year since 1960.
This article provides a reference list of inflation in India every year since 1960.
Disclaimer: We have assumed 2023 inflation to be 7.00% as per interim RBI data. The final figure will be known in early 2024. Inflation data is from worlddata.info website.
Inflation is one of the axioms of personal finance and enjoys the same permanence as death and taxes.
Investors who are looking for safety in debt as an asset class would have a perpetual worry as to whether debt products beat inflation or not. Given the downtrend in interest rates in the last decade, anyone dependent on debt as an asset class, pensioners, and general investors allocating a part of their portfolio to debt products have a cause for concern. On the other hand, investors with an equity-heavy portfolio should have fared better vs inflation over time.
Chart: Arthgyaan ⢠Source: RBI ⢠Get the data
Falling interest rates have led to two effects on portfolio valuation and income. First, long-duration bonds have risen in price over this period while interest income from fixed deposits, small saving schemes (like provident fund, NSC) and annuities have gradually come down. Similarly, falling rates positively impact equity valuation since the cost of capital reduces.
In this decade, we are currently in a period of record-low inflation.
Decade | Average inflation |
---|---|
1960s | 6.17% |
1970s | 7.79% |
1980s | 8.95% |
1990s | 9.00% |
2000s | 6.29% |
2010s | 6.23% |
2020s | 5.91% |
Choosing the right assets to invest so that you can beat inflation is possible and is discussed here: Inflation: the impact on your goals and how to choose assets that beat it
Year | Inflation |
---|---|
2021 | 5.13% |
2022 | 6.70% |
2023 | 7.00% |
Note: We have assumed 2023 inflation to be 7.00% as per interim RBI data. The final figure will be known in early 2024.
Year | Inflation |
---|---|
2011 | 8.91% |
2012 | 9.48% |
2013 | 10.02% |
2014 | 6.67% |
2015 | 4.91% |
2016 | 4.95% |
2017 | 3.33% |
2018 | 3.94% |
2019 | 3.73% |
2020 | 6.62% |
Year | Inflation |
---|---|
2001 | 3.78% |
2002 | 4.30% |
2003 | 3.81% |
2004 | 3.77% |
2005 | 4.25% |
2006 | 5.80% |
2007 | 6.37% |
2008 | 8.35% |
2009 | 10.88% |
2010 | 11.99% |
Year | Inflation |
---|---|
1991 | 13.87% |
1992 | 11.79% |
1993 | 6.33% |
1994 | 10.25% |
1995 | 10.22% |
1996 | 8.98% |
1997 | 7.16% |
1998 | 13.23% |
1999 | 4.67% |
2000 | 4.01% |
Year | Inflation |
---|---|
1981 | 13.11% |
1982 | 7.89% |
1983 | 11.87% |
1984 | 8.32% |
1985 | 5.56% |
1986 | 8.73% |
1987 | 8.80% |
1988 | 9.38% |
1989 | 7.07% |
1990 | 8.97% |
Year | Inflation |
---|---|
1971 | 3.08% |
1972 | 6.44% |
1973 | 16.94% |
1974 | 28.60% |
1975 | 5.75% |
1976 | -7.63% |
1977 | 8.31% |
1978 | 2.52% |
1979 | 6.28% |
1980 | 11.35% |
Year | Inflation |
---|---|
1961 | 1.68% |
1961 | 1.70% |
1962 | 3.63% |
1963 | 2.95% |
1964 | 13.36% |
1965 | 9.47% |
1966 | 10.80% |
1967 | 13.06% |
1968 | 3.24% |
1969 | -0.58% |
1970 | 5.09% |
This article shows how a single-income middle-aged couple with two small children reach their retirement and childrenâs goals.
This article shows how a double-income couple with a 2-year old reach their FIRE dream at the age of 50.
This article shows how a double-income couple with a newborn child can invest for their future goals of FIRE and real-estate investment.
This article shows how a young just-married couple can invest for future goals using the Arthgyaan goal-based investing tool.
Did you welcome a bundle of joy in your 40s? This article will discuss ways of planning the childâs (and yourâs financial future)
This article shows how a very typical salaried couple with one child can invest for future goals using the Arthgyaan goal-based investing tool.
This article shows how an investor should invest a lump sum amount in the stock market when the market has reached an all time high.
Published: 10 December 2023
7 MIN READ
This article provides a reference list of gold prices in India every year since 1950.
Published: 13 December 2023
3 MIN READ
This article shows how to understand the impact on your portfolio if you stop investing for a few years between today and retirement.
Published: 24 April 2024
4 MIN READ
This article explains what happens if you withdraw from your EPF to buy a house and who should or shouldnât withdraw from EPF for this reason.
Published: 21 April 2024
7 MIN READ
1. Email me with any questions.
2. Use our goal-based investing template to prepare a financial plan for yourself.Don't forget to share this article on WhatsApp or Twitter or post this to Facebook.
Discuss this post with us via Facebook or get regular bite-sized updates on Twitter.
More posts...Disclaimer: Content on this site is for educational purpose only and is not financial advice. Nothing on this site should be construed as an offer or recommendation to buy/sell any financial product or service. Please consult a registered investment advisor before making any investments.
This post titled A complete history of inflation in India since the 1960s first appeared on 12 Dec 2023 at https://arthgyaan.com