Inflation falls slightly in December

Staff Reporter :
The general point-to-point inflation rate in Bangladesh slightly eased in December but remained over 9 percent as prices of goods and services stayed high where limited-income households have suffered the most.

In December, the Consumer Price Index (CPI), a measure of increase in prices, rose 9.41 percent compared with 9.49 percent the previous month, thanks to slight decrease in the prices of foods after arrival of winter vegetables, according to data released yesterday by the Bangladesh Bureau of Statistics (BBS).

Food inflation decreased to 9.58 per cent in December which was 12.56 percent in October, the highest in a decade and 12.37 percent in September.

However, World food prices fell in 2023, with considerable declines for grains and oils as supply concerns eased, said the UN’s Food and Agriculture Organization.

Overall, world food commodity prices fell 13.7 percent in 2023 against the previous year, Rome-based FAO said.

In December, the Non-food inflation increased by 8.52 percent from 8.00 percent in November.

Since the March of the current year, inflation has consistently remained above 9 percent, significantly affecting the cost of living, particularly for the common people.

The annual average inflation from December 2022 to November 2023 notched 9.48 percent.

According to BBS data, rural inflation dipped to 9.48 percent in December, down from 9.62 percent in November.

Urban inflation remained largely stable at 9.15 percent in December, compared to November’s 9.16 percent, as per BBS data.

This easing trend extended to food prices, which softened to 9.46 percent
from 10.58 percent in the previous month. Non-food inflation saw a slight rise, settling at 8.39 percent compared to 8.17 percent in November.

Moreover, the wage rate increased marginally by two basis point to 7.74 percent in December from 7.72 percent in the previous month.