KATHMANDU, March 13: Consumer price inflation increased last month in the run-up to the election held on March 5.
As per the ‘Current Macroeconomic and Financial Situation Report of Nepal’ of Nepal Rastra Bank (NRB), the inflation inclined 3.25 percent last month, up from 2.42 percent in mid-January. The rate was 1.63 percent in the previous month.
The consumer price inflation inclined last month mainly due to an increase in non-food and service prices. The prices of basket of items in this category surged 3.66 percent, with the food and beverage inflation standing at 2.50 percent.
Consumer price inflation climbs to 2.42 percent in mid-January
The average inflation rate in the seven months’ period of the current fiscal year (FY) however was recorded at 1.92 percent compared to 4.86 percent a year ago.
Under the food and beverage category, the year-on-year price index of vegetable sub-category escalated 11.63 percent, ghee and oil 7.61 percent, and fruits 7.41 percent. Similarly, the price indices of pulses and legumes sub-category decreased 5.19 percent, cereal grains and their products 2.97 percent and spices 3.92 percent.
In the non-food and services category, the year-on-year price index of miscellaneous goods and services increased 21.98 percent, education 7.46 percent, clothes and footwear 5.28 percent, tobacco products 4.15 percent, and alcoholic drinks 3.85 percent. Similarly, the price index of the communication sub-category decreased 0.08 percent.
During the review month, the price index in rural areas increased 2.52 percent, while in urban areas, it inclined 3.51 percent compared to the corresponding month of FY 2024/25.
Province-wise, consumer price inflation in Koshi Province was 3.53 percent, Madhesh Province 5.14 percent, Bagmati Province 3.10 percent, Gandaki Province 2.42 percent, Lumbini Province 3.29 percent, Karnali Province 1.62 percent, and Sudurpashchim Province 1.64 percent.
In the review month, consumer price inflation in the Kathmandu Valley, Terai, Hill and Mountain region stood at 3.48 percent, 3.66 percent, 2.68 percent and 2.58 percent respectively.
