Inflation keeps rising

The general point-to-point inflation rate increased 0.07 percentage points to 6.05 per cent in December last year compared to November. The inflation rate in November 2021 was 5.98 per cent, up from 5.7 per cent in October, according to the Bangladesh Bureau of Statistics (BBS) data revealed on Thursday.

In December, Bangladesh’s overall inflation was 6.05 per cent. Of this, 5.46 per cent was food inflation and 7 per cent non-food inflation. Food inflation was 5.43 per cent in November, while non-food inflation stood at 6.87 per cent that month, BBS data show.

BBS data showed that food inflation increased 0.03 percentage points in December from 5.43 per cent in November. During this period, non-food inflation increased 0.13 percentage points from 6.87 per cent.

Meanwhile, inflation in rural areas rose higher than that of the urban regions last month. In December, rural inflation increased to 6.27 per cent from 6.20 per cent in November.

The food inflation in the rural areas was 5.93 per cent last month, up from 5.90 per cent in November. The non-food inflation also increased to 6.94 per cent in December from 6.78 per cent in November. The urban inflation increased slightly to 5.66 per cent in December from 5.59 per cent in November.

Food inflation in urban areas was 4.41 per cent last month, up from 4.37 per cent in November. However, non-food inflation in urban areas increased to 7.07 per cent in December from 6.99 per cent in November.

Distinguished fellow of Centre for Policy Dialogue Professor Mustafizur Rahman told The Business Post that inflation increased worldwide, not just in Bangladesh.

He pointed out that commodities prices increased in the global market, which pushed up the inflation rate in the country. “Import cost and transport cost have also increased, causing the inflation rate to go up,” he said, noting that demands for essential increased at the consumer level after the pandemic situation improved.