Bangalore and Mumbai are most the Expensive cities for Average Indian Consumers

Analysis of the most recent Consumer Price Index data released by Reserve Bank of India shows that Bangalore has the highest average cost of living in India, followed by Mumbai, then Chennai, Kolkata, and Delhi.

This is a chart from The Times of India, which indicates the CPI scores of the six different cities mentioned.

There are a variety of factors that contribute to the differential living costs of the cities, including aspirations of the people, political advantage and other factors. Here is an example of the variations in the price of cooking gas (LPG) cylinders, a staple need  for most households, since  piped gas is not available very widely yet.

Economist Vibhuti Patel of Mumbai’s SNDT University points out that Mumbai has very high rents. She also says basic food items like vegetables, fruits and grains are likely to cost more in Mumbai than Delhi, since the latter is closer to Punjab and other agricultural states.

Last updated: December 26th, 2025