Kathmandu: The year-on-year (y-o-y) consumer price inflation in Nepal was recorded at 2.77 percent in mid-May 2025, a decrease from 4.40 percent a year ago, as reported by Nepal Rastra Bank (NRB) in its recent publication titled ‘Current Macroeconomic and Financial Situation of Nepal (Based on Ten Months Data Ending Mid-May 2024/25)’.
According to National News Agency Nepal, food and beverage inflation stood at 1.52 percent, while nonfood and service inflation was recorded at 3.45 percent for the review month. In contrast, during the same period last year, the price indices for these categories had risen by 6.41 percent and 3.09 percent, respectively.
The report further detailed that the y-o-y price index in rural areas experienced a 3.21 percent increase, whereas urban areas saw a rise of 2.61 percent. Provincial data indicated that y-o-y consumer price inflation was highest in Koshi Province at 4.29 percent, followed by Sudurpashchim Province at 3.14 percent. Other provinces such as Madhesh, Bagmati, Gandaki, Lumbini, and Karnali recorded inflation rates of 2.81 percent, 2.40 percent, 2.23 percent, 2.15 percent, and 2.21 percent, respectively.
The Kathmandu Valley, along with the Terai, Hill, and Mountain regions, reported consumer price inflation rates of 2.64 percent, 2.64 percent, 2.65 percent, and 4.01 percent, respectively, for the review month.
In terms of wholesale price inflation, the report highlighted a decrease to 3.95 percent y-o-y in mid-May 2025 from 5.68 percent the previous year. Specifically, the wholesale price of consumption goods saw a significant increase of 10.89 percent, while intermediate goods and capital goods reported increases of 0.10 percent and 2.73 percent, respectively. Additionally, the wholesale price of construction materials rose by 2.67 percent in the review month.