Prices dip slightly amid mixed economic signals

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Staff Report :

A recent World Food Programme (WFP) report reveals that three out of 10 households in Bangladesh could not afford a sufficient diet in September.

This highlights ongoing food insecurity challenges following nationwide flooding, with essential commodity prices showing only slight declines after the interim government assumed office on August 8.

The report indicates that 20 percent of the population faces food insecurity, with regional disparities—17 percent in Dhaka and a peak of 24 percent in Sylhet and Barisal. Low-income families are the hardest hit, with 36 percent experiencing food insecurity.

Key drivers of the crisis include rising food costs, as 54 percent of households reported significant price hikes, and 59 percent noted an increase in overall expenditures.

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Additionally, 37 percent of households experienced a drop in income, further limiting their ability to meet basic needs.

Many families are adopting coping strategies to manage the crisis. Nearly 29 percent of households have resorted to food-based coping mechanisms, such as reducing portion sizes, choosing cheaper food options, or cutting the number of daily meals.

In parallel, 71 percent of households are employing livelihood-based strategies, including purchasing food on credit (42 percent), reducing healthcare expenses (26 percent), using savings (17 percent), or seeking external assistance (15 percent).

Despite the severity of the situation, the report notes some signs of improvement. The food insecurity rate decreased to 20 percent in September, down from 22 percent in August, reflecting a modest but positive trend in food security.

The findings are based on a survey of 1,200 households across eight districts, conducted via telephone, with a reported data precision margin of ±8 percent. While this progress offers some hope, Bangladesh still faces considerable challenges in achieving food security for all.