The annual average inflation has exceeded the target to be maintained in the last fiscal year.

According to an annual current macroeconomic and financial report of the last fiscal year made public by Nepal Rastra Bank (NRB) on Friday, the year-on-year (y-o-y) consumer price inflation has increased in the last fiscal year 2022/23 compared to previous fiscal year 2021/22.

The annual average consumer price inflation stood at 7.74 per cent in FY 2022/23 compared to 6.32 per cent a year ago.

The inflation is still higher than the target to be maintained in the current fiscal year.

The budget of the government for 2022/23 and monetary policy has set the goal of maintaining inflation within 7 per cent.

Under the food and beverage category, the annual average consumer price index of restaurant and hotel sub-category increased by 14.42 per cent, spices 12.50 per cent, cereal grains and their products by 10.70 per cent, tobacco products by 9.88 percent and milk products and eggs by 9.23 per cent.

Likewise, under the non-food and services category, the annual average consumer price index of transportation sub-category increased by 13.50 per cent, recreation and culture by 10.18 per cent, health by 10.01 per cent, education by 8.79 per cent and housing and utilities by 8.65 per cent.

The y-o-y consumer price inflation stood at 7.44 per cent in mid-July 2023 compared to 8.08 per cent a year ago.

The annual average inflation of food and beverage category stood at 6.62 per cent in 2022/23 compared to 5.69 per cent a year ago, said the NRB.

Similarly, the y-o-y food and beverage category inflation stood at 7.38 per cent in mid-July 2023 compared to 6.89 per cent a year ago.

The annual average non-food and services category inflation stood at 8.62 per cent in 2022/23 compared to 6.83 per cent a year ago.

In 2022/23, consumer price inflation in the Kathmandu Valley, Tarai, Hill and Mountain remained at 7.55 per cent, 8 per cent, 7.56 per cent and 7.12 percent respectively.

The annual average wholesale price inflation stood at 8.47 per cent in 2022/23 compared to 9.51 per cent a year ago.

The annual average salary and wage rate index stood at 9.90 per cent in 2022/23 compared to 6.65 per cent a year ago.