After 2 Months of Deflation, Telangana Bounce Back Into Inflation
State bounces back after rare back-to-back deflation months; still below national average

Hyderabad: Telangana, which experienced deflation for two consecutive months in June and July this year, bounced back into the positive inflation zone in August. According to data released by the Union Ministry of Statistics and Programme Implementation on Friday, the state registered an overall inflation rate of 0.94 per cent.
Rural inflation in Telangana stood at 0.58 per cent, while the urban figure was higher at 1.21 per cent. The combined rate of 0.94 per cent, however, remained significantly lower than the national averages — 1.69 per cent in rural areas, 2.47 per cent in urban areas, and 2.07 per cent overall.
The August uptick was largely driven by price increases in vegetables, meat and fish, edible oils, fats, eggs, and personal care products. Despite the return to positive inflation, Telangana’s figures remained among the lowest in the country. Only two states, Assam and Odisha, continued to show deflation, at -0.66 per cent and -0.55 per cent respectively.
This year marked a unique trend for Telangana, which, for the first time since its formation in 2014, recorded deflation in back-to-back months, making it the only state in India to do so.
Among other states, Uttar Pradesh, Bihar, and Delhi reported inflation rates below Telangana’s, at 0.26 per cent, 0.52 per cent, and 0.80 per cent, respectively, in August 2025. On the other hand, Karnataka recorded the highest inflation in the country at 3.81 per cent.
The data highlights how Telangana’s inflationary movement has diverged from national trends, reflecting both unusual deflation earlier and a modest return to inflation now. The state’s performance continues to attract attention for being significantly distinct compared to several others across India.

