India Inflation in 1981

INR Inflation Calculator for the year 1981


Enter the INR amount for which you want to calculate inflation from the year 1981:

RESULT: ₹1 in 1981 is worth ₹23.31 today.

You might be interested in calculating the value of ₹1 for the year 1986. Or calculate the value of ₹1 for the year 1991

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₹1 in 1981 is worth ₹23.31 today.

The value of ₹1 from 1981 to 2022

₹1 in 1981 has the purchasing power of about ₹23.31 today, a ₹22.31 increase in 41 years. Between 1981 and today, the rupee experienced an average annual inflation rate of 7.98%, resulting in a cumulative price increase of 2231.09%.

According to the Bureau of Labor Statistics consumer price index, today's prices are several times higher than the average price since 1981.

In 1981, the inflation rate was 13.1125%. Inflation is now 6.08% higher than it was last year. If this figure holds true, ₹1 today will be worth ₹7.08 next year in purchasing power.

Inflation from 1981 to 2022

Summary Value
Cumulative price change (from 1981 to today) 2231.09%
Average inflation rate (from 1981 to today) 7.98%
Converted amount ₹23.31
Price Difference ₹22.31
CPI in 1981 396.74
CPI in 2022 9248.3472
Inflation in 1981 13.1125%
Inflation in 2022 6.08%
₹1 in 1981 ₹23.31 in 2022

Buying power of ₹1 in 1981

If you had ₹1 in your hand in 1981, its adjusted value for inflation today would be ₹23.31. Put another way, you would need ₹23.31 to beat the rising inflation. When ₹1 becomes equivalent to ₹23.31 over time, the "real value" of a single Indian rupee decreases. In other words, a rupee will pay for fewer items at the store.

This effect explains how inflation gradually erodes the value of a rupee. By calculating the value in 1981 rupees, it's evident how ₹1 loses its worth over 41 years.



Rupee inflation for ₹1 from 1981 to 2022

The below tabular column shows the effect of inflation on ₹1 in the year 1981 to the year 1981.

Year Rupee Value Inflation Rate
1981 1 13.1125%
1982 1.08 7.89%
1983 1.21 11.87%
1984 1.31 8.32%
1985 1.38 5.56%
1986 1.5 8.73%
1987 1.63 8.80%
1988 1.79 9.38%
1989 1.91 7.07%
1990 2.08 8.97%
1991 2.37 13.87%
1992 2.65 11.79%
1993 2.82 6.33%
1994 3.11 10.25%
1995 3.43 10.22%
1996 3.73 8.9772%
1997 4 7.1643%
1998 4.53 13.2308%
1999 4.74 4.6698%
2000 4.93 4.0094%
2001 5.12 3.77%
2002 5.34 4.30%
2003 5.54 3.81%
2004 5.75 3.7673%
2005 6 4.2463%
2006 6.34 5.7965%
2007 6.75 6.3729%
2008 7.31 8.3493%
2009 8.11 -0.36%
2010 9.08 1.64%
2011 9.89 8.91%
2012 10.83 9.47%
2013 11.91 10.01%
2014 12.7 6.66%
2015 13.33 4.907%
2016 13.99 4.95%
2017 14.45 3.33%
2018 15.02 3.94%
2019 15.58 3.73%
2020 16.61 6.62%
2021 17.47 5.13%
2022 18.53 6.08%


Conversion of 1981 rupees to today's price

Based on the 2231.09% change in prices, the following 1981 amounts are shown in today's rupees:


Initial value Today value
₹1 rupee in 1981 ₹23.31 rupees today
₹5 rupees in 1981 ₹116.55 rupees today
₹10 rupees in 1981 ₹233.11 rupees today
₹50 rupees in 1981 ₹1165.54 rupees today
₹100 rupees in 1981 ₹2331.09 rupees today
₹500 rupees in 1981 ₹11655.43 rupees today
₹1,000 rupees in 1981 ₹23310.85 rupees today
₹5,000 rupees in 1981 ₹116554.26 rupees today
₹10,000 rupees in 1981 ₹233108.51 rupees today
₹50,000 rupees in 1981 ₹1165542.57 rupees today
₹100,000 rupees in 1981 ₹2331085.14 rupees today
₹500,000 rupees in 1981 ₹11655425.72 rupees today
₹1,000,000 rupees in 1981 ₹23310851.44 rupees today

How to calculate the inflated value of ₹1 in 1981

To calculate the change in value between 1981 and today, we use the following inflation rate formula:

CPI Today / CPI in 1981 x Rupee Value in 1981 = Current Rupee Value

By plugging the values into the formula above, we get:

9248.3472/ 396.74 x ₹1 = ₹23.31

To buy the same product that you could buy for ₹1 in 1981, you would need ₹23.31 in 2022.

To calculate the cumulative or total inflation rate in the past 41 years between 1981 and 2022, we use the following formula:

CPI in 2022 - CPI in 1981 / CPI in 1981 x 100 = Cumulative Inflation Rate

By inserting the values to this equation, we get:

( 9248.3472 - 396.74 / 396.74) x 100 = 2231.09%

Alternate method to calculate today's value of money after inflation - Using compound interest formula

Given that money changes over time due to inflation, which acts as compound interest, we can use the following formula:

FV = PV (1+i/100)^n

where,

  • FV = Future value
  • PV = Present value
  • i: Average interest rate (inflation)
  • n: Number of times the interest is compounded (i.e. # of years)

The future value in this case represents the amount obtained after applying the inflation rate to our initial value. In other words, it indicates how much ₹1 is worth today. We have 41 years between 2022 and 1981. The average inflation rate was 7.9829223161786%.

Plugging in the values into the formula, we get:

1 (1+ % 7.98/ 100 ) ^ 41 = ₹23.31