Inflation cools off found in Nov
Standard inflation fell to 5.52 per cent found in November, bucking a rising pattern, driven by a significant drop in food rates, official info showed yesterday.
The common Consumer Price Index (CPI) had risen to 6.44 % in October, the best in at least five years, led by a sharp upsurge in the cost of food items.
This had been the third consecutive monthly increase as recent floods and rains damaged crops and pushed up the costs of rice and vegetables.
But November's shape is 92 basis items lower than the CPI in October and may be the lowest in half a year, info from the Bangladesh Bureau of Figures (BBS) showed.
Food inflation declined 1.61 percentage points to 5.73 %, and non-food inflation rose 19 basis things to 5.19 %.
There was a noticable difference in November with headline inflation declining due to a noticeable fall in food inflation, said Zahid Hussain, a former lead economist of the World Bank's Dhaka office.
"Therefore an easing of the erosion of the getting power of the indegent and vulnerable population."
Hussain said the decline found in food inflation perhaps reflected stable rice rates and the arrival of winter non-rice manufacture to the market.
"Ensuring the functioning of the source chain amid the rising coronavirus infection charge will be critical for maintaining price stability."
The headline inflation continues to be above the fiscal year's target of 5.4 %.
The price of coarse rice fell marginally to Tk 52.23 a kg from Tk 52.25 per month ago in markets in Dhaka, BBS data confirmed.
It had been Tk 49 in September this year and averaged Tk 45.51 in the last fiscal year.
The cost of pulses and meat rose, and that of fish dropped.
Good quality soybean oil became costly by Tk 5 a litre, according to the BBS.
The price of dry chilli jumped to Tk 390 a kg from Tk 370 per month ago. It averaged Tk 235 a kg last fiscal year.
The price of onion dropped to Tk 88.21 a kg from Tk 92.65 in October.
The national statistical agency said inflation in rural areas was down 1.12 percentage items to 5.55 per cent from 6.67 % in October.
Food inflation dropped 1.72 percentage points to 6.01 %. Non-food inflation rose three basis tips to 4.65 per cent.
Urban inflation declined 56 basis points to 5.47 per cent, led by 1.37 percentage points reduction in food inflation, which stood at 5.11 %.
Non-food inflation in the cities rose 39 basis details to 5.90 % in November, BBS info showed.
The overall wage rose seven basis points to 6.10 per cent in November.
The wage in the agriculture sector was up 10 basis points to 6.34 % from per month ago, in line with the Wage Rate Index. Wages in the professional sector rose one basis indicate 5.52 per cent.
The wage increased six basis points to 6.11 per cent found in the service sector. It fell two basis points to 4.51 % in the construction sub-sector.
