English

TERAG: Token-Efficient Graph-Based Retrieval-Augmented Generation

Artificial Intelligence 2025-11-11 v3

Abstract

Graph-based Retrieval-augmented generation (RAG) has become a widely studied approach for improving the reasoning, accuracy, and factuality of Large Language Models (LLMs). However, many existing graph-based RAG systems overlook the high cost associated with LLM token usage during graph construction, hindering large-scale adoption. To address this, we propose TERAG, a simple yet effective framework designed to build informative graphs at a significantly lower cost. Inspired by HippoRAG, we incorporate Personalized PageRank (PPR) during the retrieval phase, and we achieve at least 80% of the accuracy of widely used graph-based RAG methods while consuming only 3%-11% of the output tokens. With its low token footprint and efficient construction pipeline, TERAG is well-suited for large-scale and cost-sensitive deployment scenarios.

Keywords

Cite

@article{arxiv.2509.18667,
  title  = {TERAG: Token-Efficient Graph-Based Retrieval-Augmented Generation},
  author = {Qiao Xiao and Hong Ting Tsang and Jiaxin Bai},
  journal= {arXiv preprint arXiv:2509.18667},
  year   = {2025}
}

Comments

16 pages, 3 figures, 4 tables. Code available at https://github.com/wocqcm2/TERAG

R2 v1 2026-07-01T05:51:29.245Z