Inflation stats keep ballooning


April 2021 Country Level Inflation Rate raises by 19.9 percent in April 2021 as compared to last year same period according to the central statics agency.
The country level food inflation increased by 22.3 percent as compared to the one observed a year ago and Non-food inflation rate increased by 16.8 percent in April 2021 as compared to the one observed in December 2020.
The April 2021 General year-on-year inflation has increased by 19.2 percent as compared to the one observed in April 2020. The year-on-year Food inflation has increased by 21.7 percent in April 2021 as compared to the one observed in April 2020.
Cereal prices continued to increase in the current month which has great contribution for the rise of food inflation. In addition, the continued increase in the prices of edible Oil, Butter, Spices (Pepper) and coffee during the current month has contributed to an increase in the rate of inflation. Compared to last month, the prices of Kale, Onion, Garlics, Potatoes and Kocho had slightly declined.
The annual inflation rate showed an increase in the current month since prices were relatively lower in the same month last year. The Non-Food inflation showed an increase of 16.0 percent in April 2021 as compared to the one observed in April 2020.
According to the report, the rise in Non-food Inflation is mainly due to rise in the prices of Alcohol and Tobacco, Stimulants (Chat), Clothing and Footwear, Housing Repair and Maintenance (Cement and Corrugated Iron sheets), and Energy as Firewood and Charcoal, Medical care, Transport such as fuel and Jewelry including Gold.
Inflation based on comparison of April with Last month has showed an increase of 0.8 Percent as compared to the preceding month.
“The monthly inflation rate to date can be affected by seasonal and other short term effects,” the agency stated.
Similarly, the April 2021 Country Level Consumer Price Index has increased by 19.2 percent as compared to last year same period April 2020. The increase in the General Consumer Price Index is attributed to the rise observed in the indices of Food and Non-alcoholic beverages 21.7 percent, Alcoholic Beverages and Tobacco by 12.1 percent, Clothing and Footwear by 20.6 percent, House Rent, Construction Materials, Water and Fuel and Power by 9.1 percent, Furniture, Furnishings, Household Equipment and Operation by 22.5 percent, Health 32.4 percent, Transport by 24.9 percent, communication by 22.7 percent,
Education, Restaurant and Hotels, and Miscellaneous Goods has also showed price increase. Most of the components of Food index showed increase as compared to similar month last year; Bread and Cereals by (27.4 percent), Meat 10.6 percent, Fish and Seafood by 12.8 percent, Milk, Cheese and Eggs 33.6 percent, Oil and Fats 34.5 percent, Fruits by 5.9 percent, Vegetables and Pulses, Potatoes and Tubers by 12.3 percent and Sugar, Honey and Chocolate declined by 13.7 percent, Other Food Products and spices n by (20.9 percent) and Non-Alcoholic beverages and Coffee by 22.8 percent.
Last month March 2021, general inflation rate has been stood at 20.6 percent showing 22.0 percent increase on food items and 18.9 percent on nonfood items.
Compared to last month March 2021, the general inflation rate in April has shown 0.8 percent increase, food items rise by 2.5 percent while non food items decline by 1.3 percent.