The survey reveals that households have reported easing of price and inflationary pressures in most of the product groups, including food products, non-food products
As positive sentiments on the current price level and inflation picked up, Indian households are expecting a decline in both price and inflationary pressures over the coming year, a Reserve Bank of India (RBI) survey showed.
The results of the November 2025 round of the apex bank’s bi-monthly urban consumer confidence survey (UCCS) revealed that sentiments regarding the urban employment situation remained similar to the previous round and their optimism on future employment prospects remained fairly strong. Households’ sentiments regarding their current earning situation and the future sentiments on the same remained range-bound.
“On the back of easing price pressures, households’ current perception on spending, especially essential spending, moderated sharply. A similar trend is observed for future essential spending as well. However, due to some increase in expectations on non-essential spending in future, the overall future spending remains range-bound,” the report pointed out.
The central bank noted that the Current Situation Index (CSI) improved to 98.4 from 96.9 in the previous round, owing to improved sentiments mainly on price and the general economic situation. The Future Expectations Index (FEI) remained highly optimistic, increasing by 0.6 points to 125.6, indicating continued confidence in the outlook.
The results of the November 2025 round of the RBI’s bi-monthly inflation expectations survey of households (IESH) showed that households’ perception of the current median inflation declined significantly by 80 basis points (bps) to 6.6 per cent in comparison to the previous round. Alongside, their inflation expectations for the next three months and one year ahead also experienced notable softening by 50 bps and 70 bps to 7.6 per cent and 8.0 per cent, respectively.
Households reported easing of price and inflationary pressures in most of the product groups including food products, non-food products, and cost of services for both the time horizons, the central bank noted.
