Consumer price inflation in FY 2023/24 recorded at 5.44 percent

Published On: August 18, 2024 09:20 PM NPT By: Republica | @RepublicaNepal

Prices of major food items soared around 10 percent last year: NRB

KATHMANDU, Aug 18: The annual average consumer price inflation stood at 5.44 percent last year, which moderated from 7.74 percent in the previous year.

The decline in price pressure in the fiscal year 2023/24 was mainly due to slowdown in consumer prices of the ghee and oil, and non-food and services categories including transportation. The report entitled ‘Current Macroeconomic and Financial Situation of Nepal’ for annual data of FY 2023/24 unveiled by Nepal Rastra Bank (NRB) on Sunday, shows that the price index of ghee and oil decreased 10.99 percent and those of transportation decreased 0.82 percent.

The biggest price hike was observed in spices sub-category. The price index of spices soared 26.40 percent during the review period.

Under the food and beverage category, the annual average consumer price index of pulses and legumes increased 9.96 percent, sugar and sugar products 9.87 percent, cereal grains and their products 9.85 percent and vegetables 8.29 percent.

Likewise, under the non-food and services category, the annual average consumer price index of miscellaneous goods and services sub-category increased 11.38 percent, recreation and culture 10.96 percent, education 7.73 percent, furnishing and household equipment 4.75 percent and clothes and footwear 4.56 percent.

Last year, the average food and beverage category inflation stood at 6.47 percent, a bit down from 6.62 percent in the previous year. Similarly, the non-food and services category inflation largely moderated to 4.64 percent from 8.62 percent in the review period.

Region-wise, the inflation rate declined in all the regions across the country. With a decline from 8.00 percent to 4.82 percent in the average market price, the biggest fall in the inflation was observed in the Terai region.

Similarly, the inflation rate came down to 5.99 percent from 7.55 percent in Kathmandu Valley. In the hilly region, it declined to 5.78 percent from 7.56 percent. In the mountain region, the inflation was recorded at 6.86 percent in FY 2023/24, a decline from 7.12 percent in FY 2022/23.