Inflation quickens to 5.32pc in Feb

General inflation accelerated to 5.32 per cent in February, fueled by an increase in both food and non-food items, according to the Bangladesh Bureau of Statistics (BBS).

Last month's Consumer Price Index (CPI) was up 30 basis points from 5.02 per cent in January as it broke three months' declining streak.

Food inflation increased 19 basis points to 5.42 per cent because of the rise in the price of rice, edible oil, sugar, and broiler chickens.

The prices of edible oil soared in recent months, prompting the government to fix its price on February 17 in order to tame the volatility in the domestic market and curb price manipulation by a section of unscrupulous traders.

The price of potato, onions, eggplants, bottle gourd, cauliflower, cabbage, beans, radish, tomato, and carrot fell in February compared to a month ago, the BBS said in a press release. 

Non-food inflation advanced 48 basis points to 5.17 per cent.

Inflation in rural areas went up by 33 basis points to 5 per cent, stoked by a sharp increase in non-food inflation, which stood at 4.61 per cent in February compared to 4.15 per cent in January.

Food inflation increased to 5.72 per cent, up 26 basis points from January's 5.46 per cent.

In urban areas, general inflation was 5.30 per cent, an increase by 25 basis points. Food inflation ticked up to 4.76 per cent from 4.72 per cent.

Non-food inflation in the urban centres saw a hike by 51 basis points to 5.92 per cent last month.

The central bank has already warned that inflation might see some pressure in the coming months because of a general price rise globally. It analysed the commodity and food price indexes of the World Bank and the Food and Agriculture Organisation

On February 2, the Bangladesh Bank said global inflation might rise in the near future. As a result, inflation may face some pressure in near future.

The World Bank said commodity prices continued to surge in February, with energy commodities jumping 14.3 per cent and non-energy commodities rising 2.5 per cent.

The Bangladesh Bank has set a 5.4 per cent inflation target in the current fiscal year.