PRESS RELEASE OF CONSUMER PRICE INDEX ON BASE 2024=100 FOR FEBRUARY, 2026

1. At a Glance

• All-India Consumer Price Index (CPI) for Feb 2026 released on the new Base Year 2024=100 by the National Statistical Office (NSO), Ministry of Statistics & Programme Implementation (MoSPI) [S1][S3].
• Headline CPI inflation (YoY) = 3.21% (provisional); the index is the principal anchor for RBI's flexible inflation targeting (4% ± 2%) under the amended RBI Act, 1934 [S1].
• The 2024 series replaces the 2012 base, incorporating HCES 2023-24 consumption weights and aligning with COICOP-2018 of the UN Statistics Division — first such revision in 12 years [S2][S3].

2. Why in the News

• MoSPI released the Feb 2026 CPI press note on 12 March 2026, showing a 47 basis-point rise in YoY inflation over Jan 2026 (2.74% → 3.21%) [S1].
• This is among the early releases under the new 2024=100 series, first launched earlier in the 2024 series rollout, replacing Base 2012=100 [S2][S3].
• Sharp MoM (>10%) declines in Tomato, Peas, Cauliflower indices flagged — signal of seasonal vegetable price correction [S1].

3. Background & Evolution

• CPI in India has been compiled separately as CPI-IW (Labour Bureau, 1958), CPI-AL/RL, and CPI-Urban/Rural; CPI-Combined (NSO) introduced Jan 2011 with Base 2010=100, revised to 2012=100 in 2015 [S3].
• Urjit Patel Committee (2014) recommended CPI-C as nominal anchor for monetary policy; adopted via Monetary Policy Framework Agreement (Feb 2015) and RBI Act amendment (2016) with 4% ±2% target [background].
• Expert Group on Comprehensive Updation of CPI (MoSPI) recommended migration to Base 2024=100 using HCES 2022-23 & 2023-24 [S2].
• First release of CPI on Base 2024=100 issued by MoSPI in 2026 ahead of the Feb 2026 print [S3].

4. Core Static Facts

• Releasing agency: NSO, MoSPI — monthly release (12th of every month) [S1].
• Base year: 2024 = 100 (replaces 2012 = 100) [S1][S3].
• Weight source: Household Consumption Expenditure Survey (HCES) 2023-24 [S2].
• Classification: COICOP-2018 (UN Statistics Division) — replaces earlier 6-group structure [S2].
• Hierarchy: 12 Divisions → 43 Groups → 92 Classes → 162 Sub-classes → 358 Items [S2].
• Sub-indices: Rural, Urban, Combined; plus CFPI (Consumer Food Price Index) [S1].
• Feb 2026 inflation: General CPI Combined 3.21%; Rural 3.37%; Urban 3.02% [S1].
• Feb 2026 CFPI: Combined 3.47%; Rural 3.46%; Urban 3.48% [S1].
• Index level (Feb 2026 Combined): CPI(General) = 104.57; (Rural 104.74, Urban 104.37) [S1].
• Jan 2026 (Final): CPI(General) Combined inflation 2.74%; CFPI 2.13% [S1].
• Weights database: published on mospi.gov.in & cpi.mospi.gov.in (All-India, State, Sector, Division, Group, Item) [S2].

5. Multi-Dimensional Analysis

Economic - CPI is the nominal anchor for RBI MPC under the flexible inflation targeting framework; 3.21% is well below the 4% target midpoint, giving MPC space on rates [S1]. - Updated weights better capture services, transport, communication, health — sectors whose share rose post-2012, reducing food's dominance (food was ~45.86% under 2012 base) [S2].

Administrative / Statistical - Price data collected from selected markets across rural & urban centres by NSO field staff; rural sample drawn from villages, urban from non-agricultural workforce towns [S3]. - Reflects COICOP-2018 alignment — improves international comparability with OECD/IMF datasets [S2].

Governance / Federal - CPI feeds into DA/DR revisions for Central Govt employees & pensioners (via CPI-IW, separate from CPI-C) and into minimum wage indexation by states. - Used in inflation-indexed bonds and MGNREGA wage revisions.

Social - CFPI at 3.47% vs General 3.21% indicates food inflation outpaces headline — regressive impact on poor households where food share of expenditure is higher. - Vegetable correction (Tomato, Peas, Cauliflower –10% MoM) reduces near-term household stress [S1].

6. Recent Developments (last 12-18 months)

• First Press Release of CPI on Base 2024=100 issued by MoSPI/PIB earlier in the 2024-series rollout [S3].
• HCES 2023-24 results released by MoSPI — basis of new weights [S2].
• Jan 2026 CPI (Final): 2.74%; Feb 2026 (Provisional): 3.21% — 47 bps jump [S1].
• Migration to COICOP-2018 completed with the 2024 series [S2].

7. Prelims Hooks

• CPI (Combined) is compiled by NSO under MoSPI, NOT by RBI or Labour Bureau [S1].
• CPI-IW (Industrial Workers) is compiled by Labour Bureau, base 2016=100.
• New CPI base year: 2024=100, replacing 2012=100 [S1][S3].
• Weights derived from HCES 2023-24 [S2].
• Item basket: 358 items classified into 12 Divisions, 43 Groups, 92 Classes, 162 Sub-classes [S2].
• Classification standard: COICOP-2018 (UN Statistics Division) [S2].
• Feb 2026 CPI inflation: 3.21%; CFPI: 3.47% [S1].
• CPI release date: 12th of every month by MoSPI [S1].
• RBI's inflation target: 4% ± 2% based on CPI-Combined (statutory under RBI Act, 1934 as amended in 2016) [background].
• Items with >10% MoM index fall (Feb 2026): Tomato, Peas, Cauliflower [S1].
• CFPI = Consumer Food Price Index, a sub-index of CPI [S1].

8. Mains Relevance

• GS-III: Indian Economy — Growth, development; inflation; monetary policy.
• GS-II: Government policies — Statistical infrastructure, evidence-based policymaking.
• Possible question stems: 1. "Discuss the rationale and methodological improvements in shifting the CPI base year to 2024=100. How will it strengthen India's monetary policy framework?" 2. "Critically examine the limitations of using CPI-Combined as the sole nominal anchor for inflation targeting in India." 3. "Adoption of COICOP-2018 in India's CPI signals deeper integration with global statistical standards. Discuss the implications."

9. Related Topics to Study Next

• WPI (Base 2011-12) — Office of Economic Adviser, DPIIT; differs from CPI in scope.
• CPI-IW (Base 2016=100) — Labour Bureau; used for DA revision.
• Flexible Inflation Targeting & MPC — RBI Act amendment 2016, Urjit Patel Committee.
• HCES 2022-23 & 2023-24 — basis for new CPI weights; also feeds poverty estimation.
• GDP Base Year Revision (2022-23 proposed) — parallel statistical upgrade.
• PLFS & ASUSE — other MoSPI flagship surveys.
• Core Inflation — non-food, non-fuel CPI; key MPC variable.
• IIP (Base 2011-12) — sister index; also under revision.

10. Common Errors / Trap Areas

• Confusing CPI-Combined (NSO/MoSPI) with CPI-IW (Labour Bureau) — different bases (2024 vs 2016), different uses.
• Assuming RBI compiles CPI — RBI only uses it; compiler is NSO/MoSPI [S1].
• Mixing up CPI base 2024=100 (new) with WPI base 2011-12 (still unchanged).
• Treating CFPI as separate from CPI — it is a sub-index within CPI [S1].
• Number of items in new basket = 358 (not 299 of 2012 series); divisions = 12 (not 6).

11. Sources

• [S1] Press Release of CPI on Base 2024=100 for February 2026 — https://www.pib.gov.in/PressReleasePage.aspx?PRID=2238889 — (tier: 1)
• [S2] Expert Group Report on Comprehensive Updation of CPI; FAQs on CPI 2024 Series; CPI Weights DataViz — https://www.mospi.gov.in/uploads/documents/documents/1769670534541-Export_report_CPI.pdf ; https://www.mospi.gov.in/uploads/documents/documents/1770891066052-Annexure_V.pdf ; https://mospi.gov.in/percentage-share — (tier: 1)
• [S3] First Press Release of CPI on Base 2024=100; Jan 2026 CPI release — https://www.pib.gov.in/PressReleasePage.aspx?PRID=2227012 ; https://www.mospi.gov.in/uploads/latestReleases/latest_release_1770891893893_6b458c0a-c327-4fef-a554-41131ea67273_Press_Relase_of_CPI_for_Jan26.pdf — (tier: 1)