Majority of respondents expect inflation to remain stable: NRB’s IES result

KATHMANDU: In a survey conducted by Nepal Rastra Bank (NRB), 84.6% of respondents expected the price level to increase in next three months while 92.3% expected the increase over the next year. The central bank released the results of Inflation Expectations Survey (IES) of the second quarter of FY 2022/23 conducted from January 8 to 14, 2023. According to IES result, the share of respondents expecting price increases in next three months as well as next one year has decreased from mid-October, 2022. Likewise, the share of respondents expecting price increase in food and its sub-group except for fish, meat, milk, ghee and oil, and hotel and restaurant has increased. The share of respondents expecting price increase in non-food and services and real estate (housing) during the next three months has slightly decreased compared to that of mid-October, 2022. The share of respondents expecting price increase in one year ahead across the entire food products, except for fish, meat, milk, ghee and oil, drinks and tobacco and hotel and restaurant along with non-food and services groups has decreased compared to mid-October, 2022 The median inflation expectation for three months ahead and one year ahead has remained same compared to mid-October, 2022 and mean inflation expectation for three months ahead and one year ahead has decreased. Median inflation expectations for three months and one year ahead stands at 10.0% and 12.0% respectively. This shows that individuals expect inflation to remain stable in the near term as well as in medium term. The survey was conducted among 2,010 individuals from 60 market areas through field interviews. READ ALSO:

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