Nepal Rastra Bank (NRB) has reported a surge in year-on-year y-o-y consumer price inflation in the Kathmandu Valley, Terai, Hill and Mountain region to 10.23 percent, 5.66 percent, 7.38 percent, and 10.24 percent, respectively, in the three months ending Mid-October 2023/24.
This is compared to 6.93 percent, 9.42 percent, 8.84 percent, and 7.07 percent a year ago.
The Central Bank stated that the y-o-y consumer price inflation stood at 7.50 percent in mid-October 2023 compared to 8.50 percent a year ago.
The Food and Beverage category inflation stood at 8.38 percent, while non-food and service category inflation stood at 6.81 percent in the review month.
The Consumer Price Index of spices sub-category increased 37.63 percent, sugar and sugar products 18.22 percent, fruit 14.02 percent, cereal grains & their products 12.23 percent, milk products and eggs 11.92 percent.
The ghee & oil subcategory decreased 11.61 percent in the review month.
In the Non-Food and Services Category, the consumer price index of recreation and culture subcategory increased 15.55 percent, miscellaneous goods and services 12.11 percent, education 9.10 percent, housing and utilities 8.08 percent, and furnishing and household equipment 6.25 percent.
The y-o-y consumer price index of transportation sub-category decreased 1.62 percent in the review month.
The wholesale price inflation stood at 2.78 percent in mid-October 2023 compared to 13.73 percent a year ago.
The y-o-y wholesale price index of consumption goods, intermediate goods, and capital goods increased 5.30 percent, 1.32 percent, and 2.97 percent, respectively.
The y-o-y salary and wage rate index increased 5.65 percent in mid-October 2023 compared to 11.59 percent a year ago.
Merchandise exports decreased by 2.3% to Rs.40.87 billion during the review period, with exports to India decreasing by 9.4% and imports from China and other countries increasing by 345.9 percent and 9.5%, respectively.
Imports from India and China increased by 2.4% and 42.4 percent, while imports from other countries decreased by 22.8%.
The total trade deficit increased by 2.1% to Rs.366.88 billion during the review period, with the export-import ratio decreasing to 10.0 percent.
The composition of foreign trade was dominated by intermediate and final consumption goods, with the ratio of capital goods remaining negligible at 0.3%.