Kathmandu, April 6:

The rising prices of consumer goods indicate that tough days lie ahead. Prices of basic commodities are in double digit growth mode this year.

According to Nepal Rastra Bank (NRB) governor Dipendra Chhetri, overall consumer price

in eight months of this fiscal year rose by 13.1 per cent.

It was 0.7 per cent less than in the previous months but 5.9 per cent more than in the corresponding period last year.

Rising prices of rice, wheat and maize have definitely hit the poor. Food and beverage prices are almost double compared to what they were last year.

Prices of food and beverages rose by 17.1 per cent this year whereas these were 9.4 per cent last year. Likewise, prices in service sectors have also jumped to 8.8 per cent from 4.9 per cent last year.

The government’s efforts to reduce inflation are meaningless as it has failed to regulate the market and reduce transport fares. Hence, the prices of consumer goods are soaring.

Price of sugar and sweets saw a record rise of 53 per cent whereas it rose by 46.7 per cent last month.

Similarly, prices of fish, meat and eggs, pulses, vegetable and fruits price have increased by 25.2, 24.6 and 21.8 per cent respectively.

Price of tobacco is experiencing a steady rise of 16.3 per cent in the seventh and eighth months of the fiscal year 2008-2009. Prices in transport and communication sector are unchanged since the last two months.

The country’s capital Kathmandu is more expensive to live in, with 13.4 per cent inflation while life in the Terai and Hills is a bit easier.

The price rise in Terai was 13.3 per cent from mid-February to mid-March and 12.4 per cent for the same period in the Hills. Overall inflation this year is double than that last year.

Currently, core inflation is 12.5 per cent whereas it was 6.1 per cent last year.