Terragrunt is a tool that helps you keep your Terraform configurations DRY, meaning you don't repeat the same settings in many places. You write common configuration once in a parent terragrunt.hcl file. Then, in child folders, you write terragrunt.hcl files that include the parent config using the 'include' block. When you run 'terragrunt apply' in a child folder, Terragrunt reads the child config, finds the parent config, merges them together, and then runs Terraform with the combined configuration. If the child config has settings that overlap with the parent, the child's settings take priority. This way, you can share common infrastructure settings and customize only what you need in each child folder. The execution table shows these steps clearly, from reading configs to merging and applying infrastructure. The variable tracker shows how the configuration state changes as Terragrunt processes the files. This approach saves time and reduces errors by avoiding duplicated code.