Inflation up by 8.64% in two months

By A Staff Reporter

Kathmandu, Oct. 22: The consumer price inflation  reached 8.64 per cent in the second month of the current fiscal year, more than double the same period last fiscal year. According to the current macroeconomic and financial situation of Nepal published by Nepal Rastra Bank (NRB) on Friday, the y-o-y consumer price inflation remained at 8.64 per cent in the second month of FY 2022/23 compared to 3.49 per cent a year ago. 

Consumer inflation has increased by 5.15 percentage points in the second month of the current fiscal year compared to the same month last fiscal year. The significant rise in consumer price was due to the increase in the prices of food, non-food and services. Food and beverage inflation stood at 8.17 per cent whereas non-food and service inflation stood at 9.02 per cent in the review month.

Under the food and beverage category, prices of fruit, ghee and oil, restaurant and hotel, alcoholic drinks and vegetable sub-categories increased by 17.29 per cent, 14.53 per cent, 12.30 per cent, 10.24 per cent and 9.94 per cent respectively on y-o-y basis.

Under the non-food and service category, prices of transportation, health, furnishing and household equipment, education and housing and utility sub-categories increased by 23.41 per cent, 10.54 per cent, 9.25 per cent, 8.11 per cent and 7.69 per cent respectively on y-o-y basis in the review month.

In the review month, consumer price inflation in the Kathmandu Valley, Terai, Hill and Mountain stood at 7.62 per cent, 9.33 per cent, 8.82 per cent and 6.68 per cent respectively. Inflation in these regions were 3.23 per cent, 3.65 per cent, 3.96 per cent and 3.51 per cent respectively a year ago.

The y-o-y wholesale price inflation increased by 14 per cent in the review month compared to 3.11 per cent a year ago, the report said.

The y-o-y wholesale price of consumption goods, intermediate goods and capital goods increased by 12.91 per cent, 15.93 per cent and 6.36 per cent respectively during the review month. 

Similarly, the wholesale price of construction materials increased by 19.36 percent in the review month.The y-o-y salary and wage rate index increased by 11.68 per cent in the review month.