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Home Bihar

Is Bihar Really the Cheapest State? You’ll Be Surprised by How It Compares to 25 Others

Staff Reporter by Staff Reporter
April 16, 2025
in Bihar
Reading Time: 1 min read
Is Bihar Really the Cheapest State? You’ll Be Surprised by How It Compares to 25 Others
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Patna : Living in Bihar has proven to be more affordable than in 25 other states across the country, according to the latest Consumer Price Index (CPI) data for March 2025, released by the Ministry of Statistics and Programme Implementation on Tuesday.

The combined CPI for both rural and urban areas in Bihar stands at 188.8, meaning that goods and services that cost Rs 100 in 2012 now cost Rs 188.80 in the state. This is lower than the national average of 192, placing Bihar among the 10 states and union territories with a CPI lower than the national figure.

Urban vs Rural: A Divergence in Costs

While urban areas generally see higher costs, Bihar bucks the trend. Nationally, the urban CPI is 189.9, while the rural CPI is higher at 193.9. In Bihar, however, rural areas are more affordable than the cities. The rural CPI in Bihar is 187.4, while the urban CPI stands at 197.2, indicating that daily essentials are cheaper in the state’s villages compared to its cities.

Bihar’s Inflation Remains Below National Average

Bihar’s inflation rate of 3.11% for March 2025 is lower than the national average of 3.34%. The state also saw less inflation compared to 14 other states. However, neighboring Jharkhand reported an even lower inflation rate of 2.08%, making it cheaper than Bihar in terms of overall cost of living.

Jharkhand Outpaces Bihar in Affordability

Despite Bihar’s relative affordability, neighboring Jharkhand is even cheaper. The CPI in Jharkhand stands at 186.9, slightly lower than Bihar’s 188.8. This means that for the same goods and services, residents of Jharkhand spend Rs 186.90, compared to Rs 188.80 in Bihar.

Tags: BiharRural vs Urban

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