Inflation inches up on price rises

Inflation in Bangladesh rebounds after a recession as September rate rose to 8.36 per cent compared to the preceding month, with the index mainly pushed up by price rises.

Living in villages has become costlier in recent times as the inflation rate in the rural Bangladesh last month was higher than the average rate across the country, official data showed.

The rate of inflation on a point-to-point basis in Bangladesh was recorded at 8.36 per cent in September, 0.07-percentage-points higher than 8.29 per cent in August, Bangladesh Bureau of Statistics (BBS) showed in its report on Monday.

In the corresponding period in September 2024, Bangladesh's inflation was 9.92 per cent.

The government targeted to keep the average inflation within 6.5 per cent during the current fiscal year (FY) 2025-26.

Before the latest upward trend, the month-on-month inflation had steadily decreased from 9.35 per cent in March to 9.17 per cent in April, to 9.05 per cent in May, and 8.48 per cent in June, the official statistics showed.

But the inflation rate increased again in July to 8.55 per cent. Although the rate in August decreased to 8.29 per cent, it again rose to 8.36 per cent in last month (September), the BBS statistics showed.

Although the rate of food inflation in September is still in the lower trajectory but that in the non-food is still in the higher trend.

The food inflation was recorded at 7.54 per cent while the non-food inflation at 9.40 per cent in the last month, the national statistical body data showed.

Meanwhile, the inflation rate on point-to-point basis in the rural Bangladesh was higher than that in the urban areas.

According to the BBS, the inflation rate in rural areas in last month was recorded at 8.47 per cent while it was 8.28 per cent in the urban areas.

In the villages, the rate of food inflation was recorded at 7.56 per cent in September from that of 7.50 per cent in August this year.

The non-flood inflation rate in villages was also recorded higher at 9.40 per cent in September from that of 9.28 per cent in August, the BBS data showed.

On the other hand, the food inflation rate in urban areas in the last month was estimated at 7.94 per cent from that of 7.87 per cent in August, the official data showed.

The rate of non-food inflation was recorded at 8.51 per cent in September from that of 8.49 per cent in August, BBS data showed.

Meanwhile, the 12-month average inflation in Bangladesh was still high at 9.45 per cent between October 2024 and September 2025.

In the corresponding period between October 2023 and September 2024, the inflation rate was 9.97 per cent.

Meanwhile, the BBS also unveiled the Wage Rate Index (WRI) for the month of September which has fallen after a long period.

According to the statistics, the WRI in last month was 8.02 per cent, 0.13 percentage points higher than that in the previous month August.