Team Goemkarponn
PANAJI: Goa has recorded the third-highest inflation rate in the country during the ongoing financial year, with prices rising by 4.77 per cent between April and December, according to the Economic Survey 2025–26 presented in Parliament. The State’s inflation is nearly three percentage points higher than the national average for the same period.
While inflation in Goa showed some cooling after touching 6.34 per cent in the first quarter of the year, overall price levels continue to remain elevated. The Survey indicates that inflationary pressures in the State have been building steadily over the past three years.
Data shows Goa’s inflation rate increased from 2.94 per cent in 2023–24 to 3.54 per cent in 2024–25, before rising sharply to 4.77 per cent by December 2025, pointing to sustained cost escalation across multiple sectors.
Only Kerala, with an inflation rate of 8.05 per cent, and Lakshadweep at 6.69 per cent, reported higher inflation than Goa during the period under review. Although Goa remains within the Reserve Bank of India’s tolerance limit of 6 per cent, its inflation is significantly above the national average of 1.7 per cent, signalling a sharper increase in living expenses within the State.
Higher prices of food items, housing, and services—particularly in tourism-dependent areas—are believed to be key contributors to Goa’s inflation. Seasonal demand, rising operational costs, and supply constraints have further pushed up prices.
Economists caution that persistent inflation could strain household budgets, especially for daily wage earners and those on fixed incomes, as purchasing power continues to weaken. It also presents a policy challenge as authorities attempt to maintain economic growth while controlling prices.
Despite expectations of moderation at the national level, Goa may continue to experience price pressures in the coming year. The RBI has projected inflation at 4 per cent in the first quarter and 4.2 per cent in the second quarter of the next fiscal, indicating that relief may be gradual rather than immediate.
