UPSC Prelims Practice Questions — PRESS RELEASE OF CONSUMER PRICE INDEX ON BASE 2024=100 FOR AUGUST, 2026

Q1. In the context of the revision of India's Consumer Price Index to the 2024=100 series, the term 'COICOP 2018' refers to which one of the following?

  • A. An international classification that groups household consumption expenditure according to its purpose, used to arrange index items into divisions, groups, classes and sub-classes
  • B. An international classification that groups manufacturing establishments according to their principal product, used to arrange index commodities into major groups and sub-groups
  • C. A national framework that groups households into monthly per capita expenditure fractile classes, used to derive separate price weights for each income class
  • D. An international classification that groups occupations according to skill level, used to arrange wage data for indexation of dearness allowance to employees

Q2. Monthly retail price data from selected rural and urban markets, which feed into the compilation of the all-India Consumer Price Index, are collected by which one of the following?

  • A. The Price Monitoring Division of the Department of Consumer Affairs, Ministry of Consumer Affairs, Food and Public Distribution
  • B. The Labour Bureau, an attached office of the Ministry of Labour and Employment, headquartered at Chandigarh
  • C. The Field Operations Division of the National Sample Survey, Ministry of Statistics and Programme Implementation
  • D. The Directorate of Economics and Statistics of the respective State Governments and Union Territory Administrations

Q3. The item basket and weighting diagram of the CPI 2024 series are derived from a household survey conducted by which agency and over which period?

  • A. National Statistics Office, Ministry of Statistics and Programme Implementation — August 2023 to July 2024
  • B. National Statistics Office, Ministry of Statistics and Programme Implementation — July 2022 to June 2023
  • C. Labour Bureau, Ministry of Labour and Employment — August 2023 to July 2024
  • D. Office of the Economic Adviser, Ministry of Commerce and Industry — July 2011 to June 2012

Q4. How many weighted items constitute the item basket of the CPI 2024 series?

  • A. 162
  • B. 358
  • C. 434
  • D. 1,465

Q5. Which one of the following price/production indices is NOT compiled by the Ministry of Statistics and Programme Implementation?

  • A. Consumer Price Index (Rural) on base 2024=100
  • B. Consumer Price Index (Urban) on base 2024=100
  • C. Index of Industrial Production, whose revised series was released in 2026
  • D. Consumer Price Index for Industrial Workers on base 2016=100

Q6. In the all-India CPI on base 2024=100, which one of the following divisions carries the largest weight?

  • A. Food and beverages
  • B. Housing, water, electricity, gas and other fuels
  • C. Transport
  • D. Clothing and footwear

Q7. Consider the following statements regarding the all-India Consumer Price Index (2024=100) for August 2026 as compared with July 2026: 1. Year-on-year headline CPI inflation was higher in August 2026 than in July 2026, at 4.82 per cent against 4.45 per cent. 2. Rural inflation exceeded urban inflation in August 2026, the two rates being 5.23 per cent and 4.31 per cent respectively. 3. The August 2026 headline rate was released as a final figure, the corresponding provisional figure having been published in the preceding month's release. Which of the statements given above is/are correct?

  1. Year-on-year headline CPI inflation was higher in August 2026 than in July 2026, at 4.82 per cent against 4.45 per cent.
  2. Rural inflation exceeded urban inflation in August 2026, the two rates being 5.23 per cent and 4.31 per cent respectively.
  3. The August 2026 headline rate was released as a final figure, the corresponding provisional figure having been published in the preceding month's release.
  • A. 1 and 2 only
  • B. 1 and 3 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q8. The August 2026 press note forms part of a series of monthly Consumer Price Index releases on base 2024=100 that began with a first press release issued in which month and year?

  • A. January 2025
  • B. February 2026
  • C. May 2026
  • D. June 2026

Q9. Consider the following statements regarding the Consumer Food Price Index (CFPI) and headline retail inflation in August 2026: 1. CFPI inflation rose from 5.52 per cent in July 2026 to 5.95 per cent in August 2026. 2. Urban headline inflation in August 2026 fell below its July 2026 level even as food inflation rose. 3. CFPI inflation in August 2026 was higher than all-India headline CPI inflation for the same month. Which of the statements given above is/are correct?

  1. CFPI inflation rose from 5.52 per cent in July 2026 to 5.95 per cent in August 2026.
  2. Urban headline inflation in August 2026 fell below its July 2026 level even as food inflation rose.
  3. CFPI inflation in August 2026 was higher than all-India headline CPI inflation for the same month.
  • A. 1 and 2 only
  • B. 1 and 3 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q10. Consider the following statements regarding the recommendations of the Expert Group on Comprehensive Updation of the Consumer Price Index, as reflected in the 2024 series compared with the 2012 series: 1. It recommended keeping online and e-commerce price data as well as administrative data out of index compilation, so as to preserve comparability with the 2012 series. 2. It recommended adoption of the COICOP 2018 framework up to the sub-class level for classification of items, in place of the classification used in the 2012 series. 3. It recommended that the item basket and corresponding weights be updated using the Household Consumption Expenditure Survey 2023-24. Which of the statements given above is/are correct?

  1. It recommended keeping online and e-commerce price data as well as administrative data out of index compilation, so as to preserve comparability with the 2012 series.
  2. It recommended adoption of the COICOP 2018 framework up to the sub-class level for classification of items, in place of the classification used in the 2012 series.
  3. It recommended that the item basket and corresponding weights be updated using the Household Consumption Expenditure Survey 2023-24.
  • A. 1 and 2 only
  • B. 1 and 3 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q11. The revised series of the Wholesale Price Index on base 2022-23, released in June 2026 to replace the 2011-12 series, is compiled under the authority of which one of the following?

  • A. The Price Statistics Division of the National Statistical Office, Ministry of Statistics and Programme Implementation
  • B. The Directorate General of Commercial Intelligence and Statistics, Ministry of Commerce and Industry
  • C. The Office of the Economic Adviser, Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry
  • D. The Department of Consumer Affairs, Ministry of Consumer Affairs, Food and Public Distribution

Q12. Under the Reserve Bank of India Act, 1934, the inflation target expressed in terms of the Consumer Price Index is determined by which authority and at what frequency?

  • A. By the Central Government, in consultation with the Reserve Bank of India, once in every five years
  • B. By the Reserve Bank of India, in consultation with the Central Government, once in every five years
  • C. By the Monetary Policy Committee, in consultation with the Central Government, once in every three years
  • D. By the Central Government, on the recommendation of the Financial Stability and Development Council, once in every three years