Kathmandu— Consumer price inflation in Nepal remained low in Kartik 2082, limited to 1.11 percent, as a significant fall in food and beverage prices offset increases in non-food items, according to data released by Nepal Rastra Bank (NRB).
The central bank said inflation in the food and beverage group turned negative at –3.32 percent, a sharp contrast to 9.10 percent inflation recorded in the same period last year. Overall inflation in Kartik 2081 had stood at 5.60 percent.
In contrast, non-food and services inflation reached 3.69 percent, slightly higher than 3.65 percent recorded a year ago, indicating continued price pressure in services and manufactured goods.
Vegetable prices drop the most
NRB data show that vegetables recorded the steepest price fall, with the annual point-wise consumer price index for the subgroup declining by 14.43 percent.
Prices of spices (masala) fell by 7.85 percent, while pulses and legumes declined by 5.36 percent. However, prices increased for several essential items, including ghee and oil (5.25%), non-alcoholic beverages (3.61%), and milk and eggs (1.97%).
Non-food inflation driven by services
Within the non-food category, prices of miscellaneous goods and services rose sharply by 15.17 percent, followed by education (7.56%), clothing and footwear (6.29%), and tobacco products (4.84%). Meanwhile, insurance and financial services prices declined marginally by 0.23 percent.
Urban inflation higher than rural
Inflation in urban areas stood at 1.26 percent, while rural inflation was limited to 0.66 percent.
Provincial data show inflation at 1.80 percent in Koshi, 1.73 percent in Madhesh, 0.81 percent in Bagmati, 0.37 percent in Gandaki, 1.27 percent in Lumbini, 1.08 percent in Karnali, and 0.26 percent in Sudurpaschim.
By ecological region, inflation was 1.16 percent in Kathmandu Valley, 1.24 percent in the Terai, 0.88 percent in the hills, and 1.06 percent in the Himalayan region.
Four-month average remains low
NRB said the average inflation for the first four months of FY 2082/83 stood at 1.53 percent, significantly lower than 4.50 percent recorded in the same period last fiscal year, reflecting easing price pressures, particularly in food commodities.
