The headline inflation eased a little in November but not enough to bring about any relief to the poor and fixed income groups struggling to maintain daily expenditure for the past one and a half years.
The Bangladesh Bureau of Statistics recorded inflation on point-to-point basis at 9.49 per cent in November at the national level from 9.93 per cent in October.
Economists said that the decrease is insignificant as it has remained over nine per cent.
The headline inflation has been persistent in staying close to double-digit since March this year due to the failure in containing the price hike of essentials.
The inflation becomes entrenched in the country, said former World Bank Dhaka office chief economist Zahid Hussain.
The entrenched inflation is damaging to the economy and undermines people’s living standard. It erodes the value of savings, puts pressure on household
budgets, and hurts people on low incomes the most, he added.
Economists said that unrestrained food price hikes had been one of the major reasons for the high inflation in the country.
In November, the BBS recorded food inflation at over 10 per cent both in the rural and urban areas, compelling the consumers pay excessive prices for some essentials including onion and potato.
The prices of onion abnormally rose, while potato was sold at steep prices in the kitchen markets during that month.
The potato sold at Tk 60–65 a kilogram, at much higher prices than the retail price fixed by the government at Tk 35.
Prices of onion shot to Tk 140–150 a kilogram, while the imported ones sold at Tk 110–120 a kilogram, while the government fixed the price at Tk 65 per kilogram.
Prices of edible oil, sugar and atta also increased in November although their prices fell in the global market with Bangladesh mostly depending on import for these items.
Consumers Association of Bangladesh president Ghulam Rahman said initiatives by the government did not yield any expected outcomes in tackling the high inflation.
He also criticised the government for lax market monitoring that allowed dishonest traders to manipulate the commodity prices.
Besides, the devaluation of the taka against the dollar has been attributed by the CAB president for the excessive price hike of essential commodities in the local market.
The devaluation of the taka against the US dollar was 26.1 per cent in the financial year 2022–23, the highest in 46 years.
New Age
