Inflation rate to remain at 5.6pc in next FY

The government has forecast that the inflation rate would remain at a comfortable level of 5.6 per cent in the next fiscal year (FY) 2018-19.

In the outgoing FY 2018, the inflation rate target was revised upward to 5.8 per cent from that of the preliminary target of 5.5 per cent in the national budget.

According to the latest data of the Bangladesh Bureau of Statistics (BBS), the rate of point-to-point inflation in May declined to 5.57 per cent as prices of some daily items registered a falling trend.

In the previous month of April, 2018, the inflation rate was 5.63 per cent, the official data showed.

The point-to-point inflation a year ago in May 2017 was recorded at 5.76 per cent.

Bangladesh faced a 'comfortable level' of inflationary pressure over the last few years as the global oil and food prices remained almost stable.

"Despite the fact that there is a downward trend in food inflation due to increased agricultural production supported by efficient supply management, non-food inflation is ticking up under the influence of rising global commodity prices," Finance Minister AMA Muhith in his budget speech said on Thursday.

The food and non-food inflation rates in April 2018 were 7.3 per cent and 3.5 per cent respectively, he added.

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