Inflation at 8.56 percent this fiscal breaks records of last five years


July 12, 2022


Inflation at 8.56 percent this fiscal breaks records of last five years

Nepal Rastra Bank.

KATHMANDU: The consumer price index (CPI) based inflation has hit 8.56 percent in the period of 11 months of the running fiscal 2021/22.

The Nepal Rastra Bank (NRB) report on the current Macroeconomic and Financial Situation of the last 11 months of the current fiscal showed that consumer price inflation stood at 8.56 percent, more than double of the 4.19 percent recorded a year ago.

The CPI-based inflation in the period of 11 months crossed over the annual target of 6.50 percent set by the monetary policy of 2021/22.

The inflation had been contained at an average of 4.59 percent in the period of 2016/17 to 2020/21 with highest record of 6.15 percent registered in 2019/20.

The report revealed that recent inflation triggered around 9.44 percent specifically by the non-food and service inflation followed by 7.43 percent of food and beverage inflation.

Significant rise in the prices of transportation, education, household equipment, recreation, housing, and utility spurred the inflation by 25.79 percent, 11.64 percent, 8.30 percent, 8.21 percent and 7.84 percent respectively.

Besides, prices of ghee & oil, milk and eggs, tobacco, alcoholic drink and pulses & legumes hiked by 22.60 percent, 11.22 percent, 9.70 percent, 9.68 percent and 9.13 percent respectively spurred the food inflation.

Meanwhile, the average inflation for the last 11 months stood at 6.09 percent.