Inflation eases slightly to 10.49% in August

Inflationary pressure calms slightly after unrest pushed up prices in July

August has seen a slight recovery in the inflation rate after the unrest surrounding the Anti-discrimination Student Movement pushed prices sky-high in the first month of the new fiscal year.

Still, widespread protests, a collapse in law and order, and flash floods in the country, have caused inflation to remain in double digits for another month.

The overall price inflation for August was recorded at 10.49 percent, down slightly from 11.66 percent in July.

Officially, inflation in the previous fiscal year had been just below the two-digit level at 9.92 percent. It was 9.72 percent in June.

The latest inflation data was published on Sunday by the Bangladesh Bureau of Statistics.

Rising food prices had pushed up overall inflation in July. Food inflation was 11.36 percent in August, down from 14.10 percent in July, while non-food inflation stood at 9.74 percent, up slightly from 9.68 percent. Food inflation stood at 12.54 percent in June, while non-food inflation was 7.95 percent.

Wage growth also rose marginally, from 7.93 percent in July to 7.96 percent in August.

Agriculture and manufacturing – the two largest sectors – saw slight wage growth on a point-to-point basis, but the service sector saw a slight decline.

Wage growth was 8.25 percent in agriculture and 7.25 percent in manufacturing in August, up from 8.25 percent and 7.52 percent in July respectively. But wages in the service sector dropped from 8.27 percent in July to 8.24 percent in August.