Friday, 16 December 2022

AICPIN stood at 132.5 for October, 2022 : Expected DA @42% in January, 2023

The expected Dearness Allowance January 2023 is 42% and its may vary from upcoming AICPIN data.

The Indian government releases data about inflation and the expected Dearness Allowance percentage is calculated as a percentage of the current month Consumer Price Index (CPI). It is based on the assumption that the price of goods sold will increase in line with inflation.


Calculation:

Percentage of Dearness Allowance 
(Average of AICPIN for the past 12 months – Fitment Linking Factor) x 100 / Fitment Linking Factor 

Average AICPIN for last twelve months : 

[125.7+125.4+125.1+125.0+126.0+127.7+129.0+129.2+129.9+130.2+131.3+132.5] x 2.88  / 12 = 368.88

Hence, expected DA for October, 2022

= (368.88-261.4) /261.4 x 100 = 41.12

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