RBI consumer confidence survey: CSI slips, inflation expectations at 10%
Why in the news
On 7 October 2026 the RBI published its forward-looking surveys along with the monetary policy. They show weaker consumer sentiment and sharply higher household inflation expectations.
Key facts
- Surveys released: UCCS, IESH and RCCS (September 2026), Survey of Professional Forecasters (102nd round), OBICUS (Q1:2026-27), Industrial Outlook Survey, Bank Lending Survey and Services and Infrastructure Outlook Survey (Q2:2026-27).
- The urban survey was conducted from 10 to 20 September with 6,054 respondents in 19 major cities.
- 54.5% of urban respondents said economic conditions had worsened over the past year, against 50.5% in July.
- The urban CSI stays below the neutral mark of 100, while the FEI stays above it, signalling optimism about the future.
| Indicator | July 2026 | September 2026 |
|---|---|---|
| Urban CSI | 88.3 | 87.9 |
| Urban FEI | 115.3 | 113.5 |
| Rural CSI | 91.7 | 90.6 |
| Rural FEI | 113.6 | 112.8 |
| Current inflation perception (median) | 7.8% | 8.4% |
| 3-month-ahead expectation | 7.9% | 9.9% |
The one-year-ahead expectation rose to 10% from 8.6% earlier in 2026. The rural CSI declined for a sixth consecutive round.
About the surveys
The Consumer Confidence Survey gives two indices: the Current Situation Index (CSI) and the Future Expectations Index (FEI). A reading above 100 means optimism and below 100 means pessimism. The Inflation Expectations Survey of Households (IESH) tracks households’ price perceptions and expectations, which feed into monetary policy decisions.
Exam angle
- Know the abbreviations: CSI, FEI, UCCS, RCCS, IESH.
- 100 is the neutral level for confidence indices.
- Key figures: urban CSI 87.9, FEI 113.5, one-year inflation expectation 10%.