Inflation well within target, assures NRB

ShareSansar, October 25:

Nepal Rastra Bank has informed that the customer inflation has marginally increased to 8 percent in the month of Bhadra – up from 7.9 percent in Asoj.

The two-month economic indicator released by the central bank shows that inflation was well within the targeted range.

NRB plans to limit inflation to 8 percent in the current fiscal year.

This comes as a relief to the stakeholders who were apprehensive that the huge fall of the Nepali rupees against US dollar could trigger massive increase in general prices, and fall in the purchasing value of the local currency.

The central bank has also informed that deposits in the commercial banks have increased by Rs 11.5 arba, and loans by Rs 12.75 crore in the last two months.

Loan for industrial production, however, increased by just Rs 2.67 arba compared to Rs 5.39 arba invested in the sector during the corresponding period last year.

Loan to agro sector decreased by Rs 46 crore in the review period, while it had increased by Rs 2.1 arba in the same period last year.