Nepal’s Inflation Hits 21-Month High at 5.96% in Shrawan

Nepal’s point-to-point consumer inflation rose to 5.96% in the first month of fiscal year 2083/84, marking the highest inflation rate in the past 21 months. Inflation had stood at 6.05% in Mangsir 2081 before declining to as low as 1.11%. In Shrawan of the previous fiscal year, inflation was only 1.68%. According to Nepal Rastra Bank, inflation in the food and beverage group reached 6.77%, while the non-food and services group recorded inflation of 5.52%. In the previous year, food-group prices had declined by 2.28% during the same period. Within the food group, ghee and oil prices increased by 15.62%, followed by fruits at 15.39%. Prices of fish and meat rose 8.65%, vegetables 6.90%, and spices 4.80%. Among non-food categories, the transportation price index increased by 13.17%, while alcoholic beverages rose by 7.20%. Regionally, Madhesh Province recorded the highest inflation at 6.94%, while Sudurpashchim Province recorded the lowest at 4.61%. Inflation stood at 4.81% in Kathmandu Valley, 6.64% in the Terai, 5.95% in the Hills, and 5.10% in the Mountain region.