Hyderabad: Telangana has once again emerged as the state with the lowest inflation in the country, according to the latest data released by the Union ministry of statistics and programme implementation on Tuesday.
The retail inflation, as measured by the Consumer Price Index (CPI), for April 2025 was recorded at a modest 1.26 per cent, a slight increase from the 1.06 per cent observed in March. However, the state continues to outperform all others, with inflation well below the national average of 3.16 per cent.
The state’s inflation rate remains below the Reserve Bank of India’s recommended ‘healthy inflation range’ of two to four per cent. Notably, Telangana is the only large state in India to maintain inflation under two per cent, a feat that highlights its strong economic management. Delhi recorded the second-lowest inflation at 1.77 per cent.
In a breakdown of inflation across urban and rural areas, Telangana’s rural inflation stands at just 0.44 per cent, a stark contrast to urban inflation, which was recorded at 1.99 per cent. The national averages for rural and urban inflation are higher, at 2.92 per cent and 3.36 per cent, respectively.
This marks an impressive turnaround for the state, which had previously been grappling with high inflation rates between 2020 and 2023, often exceeding 10 per cent, which raised concerns about the rising cost of living. However, since the Congress government came to power, the state has seen a significant reduction in inflation.
Telangana continues to record lowest inflation in the country in 2025. In February, Telangana’s inflation was 1.31 per cent in February, further dipped to 1.06 per cent in March.
In April, when Telangana recorded lowest inflation in the country at 1.06 per cent for the month of March, Chief Minister A Revanth Reddy said Telangana has emerged as the state with the lowest inflation in the country, a dramatic turnaround from its position as the highest during the previous BRS regime.
Chief Minister A. Revanth Reddy, in a post on X, on April 12, celebrated this achievement, crediting the Congress government’s “transformative and people-centric” policies for the turnaround. He said that Telangana, once the state with the highest inflation in the country under the previous BRS regime, has now become the state with the lowest inflation, thanks to key welfare initiatives.
Among the measures Revanth highlighted are free bus travel for women, subsidised LPG cylinders at `500, free electricity for households consuming up to 200 units, Rs.10 lakh coverage under the Rajiv Arogyasri healthcare scheme and the recent rollout of free fine rice through ration shops.
“Under BRS rule, Telangana had the highest inflation in the country. Today, it stands as the state with the lowest inflation, a testament to the people’s government and its transformative, common man-centric policies,” the Chief Minister said.
He noted that these welfare initiatives have not only alleviated financial burdens on citizens but have also fostered systemic change, marking a significant shift in the state’s economic trajectory. “The change people hoped for is now a reality. This is the people’s government,” Revanth Reddy added.
Inflation in Telangana
Overall state: 1.26% (Lowest in India)
Rural areas: 0.44% (Lowest in India)
Urban areas: 1.99% (Second lowest after Delhi)
April: 1.26%
March: 1.06%
February: 1.31%
January: 2.22%