NRB released IES for Q2 of FY 2022/23

KATHMANDU: Nepal Rastra Bank has released the results of Inflation Expectations Survey (IES) of the second quarter of FY 2022/23. The survey was conducted during January 08 to January 14, 2023 among individual respondents from 60 market areas through field interviews. The results are based on responses from 2,010 individuals.

Major highlights:

• -84.6 percent of respondents have expected price level to increase in next three months. Likewise, 92.3 percent of respondents have expected price level to increase over the next one year.The share of respondents expecting price increases in next three months as well as next one year has decreased from mid-Oct, 2022.

• The share of respondents expecting price increase in food and its sub-group except Fish, Meat,
  Milk, Ghee and oil and Hotel and Restaurant has increased. The share of respondents expecting
  price increase in non-food and services and real estate (housing) during the next three months has
  slightly decreased compared to that of mid-Oct, 2022.
• The share of respondents expecting price increase in one year ahead across the entire food
  products, except for Fish, Meat, Milk, Ghee and oil, Drinks and Tobacco and Hotel and
  Restaurant along with non-food and services groups has decreased compared to mid-Oct, 2022.
• Median inflation expectation for three months ahead and one year ahead has remained same
  compared to mid-Oct, 2022 and mean inflation expectation for three months ahead and one year
  ahead has decreased. Median inflation expectations for three months and one year ahead stands at
  10.0 percent and 12.0 percent respectively. This shows that individuals expect inflation to remain
  stable in the near term as well as in medium term.