Inflation Rises Again Above 9 Percent

Inflation in the country has once again crossed the 9 percent mark. Overall inflation rose to 9.04 percent in April, up from 8.71 percent in March, according to the latest data.

The Bangladesh Bureau of Statistics (BBS) released the figures on Wednesday (May 6).

However, inflation stood at 9.17 percent in April last year. On a year-on-year basis, inflation has slightly declined, but month-on-month data shows a renewed upward trend.

According to BBS data, food inflation rose to 8.39 percent in April, compared to 8.24 percent in March. Non-food inflation increased further to 9.57 percent, up from 9.09 percent in the previous month. In April last year, food and non-food inflation stood at 8.63 percent and 9.61 percent respectively.

After rising for four consecutive months, inflation eased slightly in March. However, the trend did not continue in April. As a result, inflation remained above 9 percent in five of the last six months, according to BBS analysis.

Economists said rising fuel prices and global market volatility, particularly tensions linked to the Iran-US-Israel conflict, have added pressure on prices. On April 19, the government increased prices of all types of fuel, including diesel, kerosene, octane, and petrol. The rise in transport and production costs has already impacted markets, they added.

BBS data shows food inflation remained relatively stable, but non-food inflation came under stronger pressure. Rising costs of transport, housing rent, electricity, and other services drove the increase in this sector.

Meanwhile, the national average wage rate stood at 8.16 percent in April, which is lower than inflation. Economists say this has further increased pressure on real incomes.