DHAKA Oct 4 Bangladesh's annual inflation
picked up in September, driven by higher food prices, the
planning minister said on Tuesday.
Consumer prices in September rose 5.53 percent from a year
earlier, compared with a rise of 5.37 percent in August, Mustafa
Kamal told a news conference.
Annual food inflation in September rose to 5.10 percent from
4.3 percent the previous month, while non-food inflation
decreased to 6.19 percent from 7.0 percent.
A spike in prices of rice, spices and vegetables led to the
surge in food inflation, a senior official at the Bureau of
Statistics told Reuters.
Inflation could increase as prices of the staple rice keeps
rising, the official added.
Average inflation came in at 5.92 percent in the 2015/16
financial year that ended in June, its lowest in 12 years,
largely due to a sharp drop in global commodity prices and good
agricultural output in the South Asian country of 160 million
The government aims to hold inflation at 5.80 percent this
Early this year, the central bank cut its key interest rate
by half a percentage point for the first time in nearly three
years as easing inflation gave it more room to manoeuvre to help
spur economic growth.
(Reporting by Ruma Paul; Editing by Robert Birsel)