Inflation projected to be below 7pc

The government has projected inflation rate to be at below 7.0 per cent in the next financial year (FY) 2014-15 as it foresees declining trends of energy and food prices in the global market in the coming days.
"Factoring in the declining trend in food and energy price in the international markets along with satisfactory domestic agricultural production and supportive monetary policy, I believe that the general inflation in Bangladesh will be hovering around 7.0 per cent by June 2014 and will be reduced further at the end of the next fiscal year," Finance Minister AMA Muhith said in his budget speech Thursday.
The point-to-point inflation has fallen to 7.4 per cent in April this year from 8.0 per cent at the end of June last in FY2013.
 "We have been quite successful in containing inflation. At the end of June in the last fiscal year, point-to-point inflation was 8 per cent that came down to 7.4 per cent at the end of April in the current fiscal year," the Finance Minister said.
 "During this time, non-food inflation declined to 5.2 per cent. But food inflation sneaked up as there was disruption in supply due to continued strikes and blockades at the beginning of this fiscal year.
 "However, I hope that the declining trend in food price in the neighbouring as well as other countries will pull down the price of food grains in the coming days, Mr Muhith said.