Dhaka, Bangladesh (BBN) - Bangladesh’s inflation as measured by consumers’ price index hit 11.66 per cent in the month of July on the point-to-point basis mainly due to higher price of food items.
The inflation jumped 194 basis points to 11.66 per cent in July this calendar year from 9.72 per cent a month before. It was 9.89 per cent in May, 2024.
The skyrocketing trend of inflation in July is not an unusual development as political unrest disrupted supply chain and led to commodity price hike in the domestic markets, economists explained.
They also said uncertainty and hoarding might have also contributed to the rising inflation in July.
Food inflation surged 368 basis points to 14.10 per cent in July from 10.42 per cent a month ago while non-food inflation rose to 9.68 per cent from 9.15 per cent on the point-to-point basis.
The country’s food inflation experienced the hiking trend when food items are maintaining a falling tendency in the global market, according to a World Bank report.
In July 2024, food prices eased by 1.10 per cent, as the prices of grains decreased by 5.70 per cent, the World Bank said in its latest commodity markets report.
On the other hand, the rate of annual average inflation rose to 9.90 per cent in July from 9.73 per cent in June, according to the Bangladesh Bureau of Statistics (BBS)’s latest data, released on Monday.
The government has already set the inflation target for the current fiscal (FY), 2024-25, at 6.50 per cent. It was 9.73 per cent in FY’24.
The central bank of Bangladesh is expected to take measures further to ease inflationary pressure on the economy.
BBN/SI/AN