What is AICPI Index?
Full name of AICPI index (All India Consumer Price Index) Is. It is an important economic indicator which is used to measure the inflation experienced in India. This index is related to the inflation experienced by the Indian Government for business and financial services and measures consumer spending on various items like apparel, food, preventive and medicine etc. The specialty of AICPI index is that it takes into account the expenses of commercial and poor class consumers and determines the amount of inflation based on them. On the basis of these indices, the Government of India reviews and optimizes various pay scales, allowances and pensions. This index is important to understand the inflationary conditions in the Indian economy and also helps in planning social and economic schemes.
The Government of India usually releases two major AICPI indices:
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AICPI (IW) for summer season: Which measures the inflation experienced from April to September.
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AICPI (IW) for winter season: Which measures the inflation experienced from October to March.