Gujarat Controls Inflation at 2.63%, Beats National Average

Gandhinagar, Gujarat – At a time when inflation is emerging as a global challenge, Gujarat has emerged as a shining example of success in controlling inflation while maintaining rapid economic growth, all under the astute leadership of Prime Minister Narendra Modi. According to the latest data released by the Ministry of Statistics and Programme Implementation, Gujarat’s annual retail inflation rate (based on the Consumer Price Index – CPI) for March 2025 stands at an impressive 2.63 per cent, significantly lower than the national average of 3.34 per cent by 0.71 per cent. This achievement places Gujarat ahead of several large and economically advanced states.

Under the leadership of Chief Minister  Bhupendra Patel, the state government is dedicated to realising the vision of ‘Vision Viksit Gujarat ka, Mission Jan Kalyan ka’. With a focus on modern development and advancing ‘Ease of Living,’ the government is committed to driving progress in every sector. While formulating forward-thinking policies to encourage development and attract investment in emerging sectors, the government is also making targeted efforts to stabilise the prices of essential commodities, ensuring relief for citizens.

Lower Inflation in Rural Areas Compared to Urban Gujarat

Through well-planned policy interventions, the Gujarat government has successfully brought inflation under control, resulting in an overall inflation rate of 2.63 per cent in March 2025. In rural areas of the state, the rate was even lower at 2.61 per cent, while urban Gujarat recorded a slightly higher rate of 2.70 per cent. Notably, both figures remain well below the national rural average of 3.25 per cent and the national urban average of 3.43 per cent, highlighting Gujarat’s effective inflation management.

These figures reflect the impact of rural-focused policies implemented by both the central and state governments, which have helped make essential goods more affordable in villages, resulting in lower inflation in rural areas compared to urban centres. Many of the Gujarat government’s initiatives are centred on farmers and rural development, steadily steering villages toward greater economic stability and prosperity.

Key State-Level Initiatives Driving Inflation Control

Controlling inflation in an industrially advancing state like Gujarat, driven by the vision of ‘Viksit Gujarat to Viksit Bharat’, is a tough task. Yet, Gujarat has succeeded in keeping inflation in check through a combination of fiscal discipline, strategic supply chain reforms, promotion of fair market competition, and effective regulatory measures. Key initiatives like the Minimum Support Price and the Public Distribution System have further contributed to food price stability. This progress highlights Gujarat’s ability to strike a fine balance between rapid economic growth and sustained price stability.

Outstanding Performance Compared to Other Developed States

Gujarat’s effective inflation management has placed it among the top-performing states in the country, particularly when compared to other large and economically advanced states. As per the latest data from the Ministry of Statistics and Programme Implementation, Gujarat’s inflation rate of 2.63 per cent stands well below that of several major states—Uttar Pradesh (3.01%), Bihar (3.11%), Madhya Pradesh (3.12%), Rajasthan (2.66%), Chhattisgarh (4.25%), West Bengal (3.17%), Karnataka (4.44%), Maharashtra (3.86%), and Tamil Nadu (3.75%). In stark contrast, Kerala has recorded the highest inflation rate in the country at 6.59 per cent.