Nepal Rastra Bank (NRB), the monetary authority entrusted to contain it at single digit figure of 9 percent in 2010/11, has attributed high inflation to sharper growth in food and beverages prices. [break]
According to the central bank, food and beverage prices rose by 17.3 percent, up from 16.13 percent growth recorded in the same period last year. Vegetables prices grew by the sharpest rate of 61.1 percent in mid-April 2011, compared to 5.3 percent growth of the same period last year. The price of fruits too shot up by 32.1 percent during the period.
The price of spices increased by 21.1 percent in mid-April and cereals too became dearer by 13.4 percent, making life difficult particularly for low income groups.
According to NRB, price of milk products and egg and meat and fish increased by 16.3 percent and 6.4 percent respectively, whereas legumes became cheaper by 4.5 percent during the period.
The higher inflationary pressure was also attributed to rise in non-food and services prices by 5.2 percent.
Of the non-food and services, price of clothing and footwear increased by 16.9 percent during the period. Transportation cost, which had decreased by 0.7 percent in the same period last year, also increased by 11.4 percent in mid-April 2011, reads an NRB report.
Related story
Effect of inflation in Kathmandu Valley: Prices of food and bev...
-1784277548.webp)
