While overall consumer price inflation slowed, costs for daily necessities rose sharply

KATHMANDU: Mid-February and mid-March saw a slight decline in the consumer price index, which was primarily brought on by a slowdown in the costs of services and non-food goods while remaining relatively stable for food items.

In mid-March, the year-over-year inflation rate remained at 7.44 percent, down from 7.88 percent in mid-February, according to the “Current Macroeconomic and Financial Situation Report of Nepal” released by Nepal Rastra Bank (NRB) on Tuesday.

Inflation for food and beverages was 5 point 64 percent, down from 6 point 19 percent in the previous month, according to the NRB report. Although the subcategory’s overall index is declining, the index for cereal grains and their products increased from 12 to 14 points. Similar to other commodities, the price index for spices increased from 8 to 10 points.

Contrarily, the inflation rate for goods and services other than food decreased from 9 point 22 to 8 point 87 percent. The transportation subcategory’s year-over-year index decreased from 15 point 58 percent to 13 point 23 percent in the previous month. Additionally, the price index for furniture and household goods decreased from 9% to 8%.

By region, the mountain recorded the highest consumer price inflation, at 8 point 7%. In a similar vein, price inflation was estimated to be 7 point 95 percent in the Kathmandu Valley, 7 point 50 percent in the Terai, and 6 point 67 percent in the hill regions.