GST Reforms to Reduce Retail Inflation by 35 Basis Points in 2025-26: SBI Report
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TL;DR
SBI Research report estimates GST reforms could lower retail inflation by 35 basis points in 2025-26, with CPI inflation already down 25 basis points in late 2025. Inflation is forecast at 1.8% for 2025-26 and 3.4% for 2026-27.
A report by SBI Research estimates that GST reforms may reduce retail inflation by 35 basis points in 2025-26, up from an earlier estimate of 85 basis points. The decline in Consumer Price Index (CPI) inflation due to GST has been around 25 basis points so far in the September-November 2025 period. SBI Research forecasts inflation for 2025-26 at 1.8 per cent and for 2026-27 at 3.4 per cent.
