BBS data shows inflation further down in Oct

The rate of inflation (point-to-point) dropped further by 0.19 per cent to 8.91 per cent for the second consecutive month in October 2022 thanks to a fall in food prices in the domestic market.

In September last the rate declined to 9.10 per cent from its peak 9.50 per cent in August, official data showed. In October last year, the inflation rate was much lower at 5.70 per cent.

The food inflation dropped 0.58 per cent to 8.50 per cent in the last month from 9.08 per cent in September, according to Bangladesh Bureau of Statistics (BBS) data released on Tuesday.

The non-food inflation, however, increased by 0.45 per cent to 9.58 per cent in the last month from 9.13 per cent in September.

Planning Minister MA Mannan disclosed the latest inflation data following a meeting of the Executive Committee of the National Economic Council (ECNEC) in Dhaka on Tuesday.

He expressed satisfaction that the inflation has at last eased a bit and said, "We're hopeful the rate will also come down in the months ahead."

The BBS claimed the prices of moong, soybean and palm oils, vegetable, green chilli, guava and gold declined in October compared to September, bringing down the monthly inflation rate.

But, it said, the prices of poultry chicken, some vegetables, spices, fruits like grape, apple and orange, dresses, and bottled gas increased in October compared to September.

Contradicting with the inflation data, some consumers however argued that the prices of almost all essential products in the local market were higher in October than that in the previous month.

They pointed out the prices of rice, the largest weight-carrier in the country's CPI basket, is still high in the market. Besides, the prices of vegetables, pulses, sugar, fish, meat and eggs had not declined in the reporting period, they added.

According to the BBS, the consumer price index (CPI) was maintaining a higher trend in the rural areas compared to the urban areas in October too.

The rate of inflation on a point-to-point basis in the rural areas was 8.92 per cent in October compared to 8.90 per cent in September.

In the rural areas, the non-food inflation almost touched double digit and stood at 9.98 per cent in October compared to the previous month while the food inflation dropped to 8.38 per cent.

The BBS data showed the overall inflation rate in the urban areas declined by 0.13 per cent to 8.90 per cent in last month from that of 9.03 per cent in September.

The food inflation in the urban areas recorded at 8.75 per cent in October from 9.36 per cent in the previous month.

The non-food inflation rose to 9.07 per cent in October from 8.66 per cent in September, the BBS data showed.

Meanwhile, the wages in October increased a bit as measured by the Wage Rate Index (WRI) of the BBS. The WRI was 6.90 in October compared to 6.86 September.

[email protected]