Bangladesh inflation hits 17-yr high in Nov

DHAKA Jan 10 (Reuters) - Bangladesh's annual consumer inflation in November reached a 17-year high above 11 percent on a shortage of supply and soaring food prices.

Inflation was 11.21 percent in November, up from 10.06 percent in October, official data showed. Inflation hit 10.10 percent in July for the first time in 13 years and rose to 10.12 percent in August.

A senior official at the Bangladesh Bureau of Statistics said on Thursday inflation was driven by an 13.83 percent spike in food prices, while prices of non-food items rose 7.26 percent from a year earlier.

The central bank projected inflation would rise to 8.5 percent against its forecast for average annual inflation of 6.5-7.0 percent for the fiscal year to June 2008.

It has been pursuing a expansionary monetary policy since the second quarter of the current fiscal year to ease domestic supply constraints. It had maintained a tightening monetary policy for more than two years. (Reporting by Ruma Paul; Editing by Valerie Lee)