The Congress on Monday took aim at the government over the latest Wholesale Price Index (WPI) data, with party leader Jairam Ramesh saying Prime Minister Narendra Modi keeps claiming "sab changa si" (everything is fine), when in reality "sab mehenga si" (everything is expensive).
What the Official Data Shows
Wholesale price-based inflation rose to 9.92% in August, up from 9.78% in July, driven by rising prices across food, manufactured items, and fuel and power, according to government data released Monday. Inflation in the food index specifically climbed to 7.05% in August, from 6.65% in July.
Congress's Critique
Jairam Ramesh pointed out that official data shows WPI inflation has now hovered around 10% for four consecutive months, with prices of essential commodities continuing to rise and causing significant hardship for crores of families across the country. He added that this problem is being compounded by falling real incomes: according to CMIE data he cited, inflation-adjusted wages have been consistently declining, down 5.7% since April, meaning households are facing both rising prices and shrinking purchasing power simultaneously.
Why This Matters
The combination Ramesh highlighted, sustained wholesale inflation alongside falling inflation-adjusted wages, points to a genuine squeeze on household budgets if both trends hold up: prices for everyday goods rising while the real value of income actually falls. Whether this reflects a broader structural economic concern or a temporary phase tied to specific factors like food and fuel prices is likely to remain a point of ongoing political and economic debate as further monthly data is released in the coming months.
FAQs
Q1. What is the current WPI inflation rate, according to government data?
9.92% in August 2026, up from 9.78% in July.
Q2. What did Jairam Ramesh say about inflation-adjusted wages?
That according to CMIE data, inflation-adjusted wages have been consistently falling, with a 5.7% drop since April.
Q3. Which categories drove the rise in WPI inflation in August?
Food, manufactured items, and fuel and power, with food index inflation specifically rising to 7.05% from 6.65% in July.