In 2015, ₹100 got you:
A movie ticket
A family pack of chips
2 litres of petrol
In 2025, it barely gets you a sandwich. But this isn’t just inflation — it’s invisible inflation. You don’t see it rising boldly on charts. Instead, it’s hidden in your shopping bag, your bill, and your bank balance.
Let’s decode what’s really happening to your ₹100.
What Is Invisible Inflation?
Invisible inflation refers to the quiet reduction in purchasing power without a major rise in headline prices.
Also called:
Shrinkflation (smaller quantity, same price)
Skimpflation (reduced quality or service)
Lifestyle inflation (same income, higher living cost)
It’s not about price tags rising — it’s about value silently eroding.
Everyday Examples of Invisible Inflation in India (2025)
| Product/Service | 2015 | 2025 |
|---|---|---|
| Parle-G Biscuit Pack | ₹5 (100g) | ₹5 (55g) |
| Metro Train Token | ₹10 | ₹30 |
| 2-Wheeler Petrol Fill | ₹70/litre | ₹108/litre |
| Swiggy/Zomato Delivery | ₹15–20 tip | ₹40+ platform fee |
| Broadband Recharge | ₹500 (unlimited) | ₹899 (limited FUP) |
Prices may seem “controlled,” but you get less for more. That’s invisible inflation.
The Psychology: Why You Don’t Notice It
Same price tags trick your brain
Auto-debits and UPI payments blur cash perception
“Premium” packaging hides smaller quantity
You focus on “What you pay” instead of “What you get”
It’s not inflation in your face — it’s inflation in your habits.
The Real Impact on Your Money
Let’s break it down:
₹100 in 2015 = ₹56.70 in 2025 (CPI-based calculation)
Every ₹10,000 saved in cash = ~₹4,330 lost in value over 10 years
Middle-class essentials (milk, rent, transport) are growing faster than income
In short, you’re getting poorer without noticing it.
How to Beat Invisible Inflation
1. Start Investing – Don’t Just Save
Savings accounts give ~3–4% returns; inflation eats 6–7% yearly.
Invest in:
SIPs in mutual funds
Gold ETFs or sovereign gold bonds
Index funds
Real estate REITs
2. Track Prices Smartly
Use tools like:
Inflation index calculators
Budgeting apps (Walnut, Moneyfy, CRED)
Price tracker browser extensions
3. Bulk Buy & Plan Ahead
Buy essentials (rice, oil, detergents) in bulk during sales or directly from wholesalers.
4. Cut Skimpflation Traps
Avoid brands that reduce quality but hike branding — compare before buying.
Expert Insight:
“Today’s biggest danger isn’t visible inflation — it’s the stealthy erosion of middle-class wealth through invisible inflation.”
– Ramesh Iyer, Senior Economist, Mumbai School of Finance
❓FAQs: Understanding Invisible Inflation
Q1. Is invisible inflation the same as normal inflation?
No. Normal inflation is visible in price hikes. Invisible inflation happens through quantity/quality reduction or service cuts.
Q2. How can I protect my savings from invisible inflation?
Avoid keeping large cash reserves. Invest in inflation-beating options like equity SIPs or gold.
Q3. What is shrinkflation?
Shrinkflation is when product sizes are reduced, but prices stay the same — like a 100g chips pack shrinking to 75g.
Q4. Is invisible inflation happening globally?
Yes, especially in post-COVID economies. India, US, and EU are all seeing hidden inflation in essentials.
Q5. Can budgeting apps help spot this?
Yes! Apps like Cred, Moneyfy, and ET Money can help you spot subtle price hikes and monthly overspending patterns.
Final Thought: Don’t Let ₹100 Fool You
Your ₹100 isn’t worthless. But it’s worth less.
Invisible inflation is real. The only way to fight it is to be aware, alert, and financially proactive. Don’t let your lifestyle stay rich while your wallet gets quietly poorer.
Published on : 30th July
Published by : SMITA
www.vizzve.com || www.vizzveservices.com
Follow us on social media: Facebook || Linkedin || Instagram
🛡 Powered by Vizzve Financial
RBI-Registered Loan Partner | 10 Lakh+ Customers | ₹600 Cr+ Disbursed