MD ASADUZ ZAMAN

Bangladesh concluded another year staring at prices of essential items taking a wild ride, the central bank scrambling to further tighten the money supply and penny-pinching among limited income people.

In December 2024, inflation eased slightly to 10.89 percent from 11.38 percent the month prior, but remained above the 10 percent threshold for the second consecutive month, according to the Bangladesh Bureau of Statistics (BBS).

This left the annual average inflation for 2024 at 10.32 percent.

The year began with inflation at 9.86 percent in January, reaching the double-digit mark in July and remaining above 10 percent for almost the remainder of the year.

Last year’s inflationary trend resembles the price increases observed in 2023, when inflation exceeded 9 percent in March and continued to strain household budgets throughout the year.

The consumer price index (CPI), which measures price fluctuations in a basket of goods and services, declined to 10.89 percent in December from 11.38 percent the previous month, shows data of the national statistical agency.

Economists and policy analysts credited the arrival of winter vegetables and tariff cuts on essential commodities for the decline.

In December, food inflation decreased to 12.92 percent from 13.80 percent in November.

Non-food inflation also edged down to 9.26 percent in December from 9.39 percent the month prior.

To curb inflationary pressures, the Bangladesh Bank raised the policy rate -- the interest rate at which