Inflation rises to 5.6% in Oct.

• Rise in inflation driven by food prices, annual average core inflation also rises marginally 

Headline inflation, as measured by the year-on-year (Y-o-Y) change in the National Consumer Price Index, increased to 5.6% in October from 5% in September, the Central Bank said yesterday.

The monthly increases of item prices in the Food category contributed to this increase. Accordingly, Food inflation (Y-o-Y) increased to 7.3% in October from 4.9% in September. However, Non-Food inflation (Y-o-Y) recorded 4.3%, continuing its decreasing trend observed since May.

The change in the NCPI measured on an annual average basis increased to 2.8% in October from 2.3% in September. Monthly change of NCPI recorded 1% in October, and it was solely due to the price increases observed in the items of the Food category. Within the Food category, prices of big onions, rice, and vegetables recorded increases. 

Meanwhile, prices of items in the Non-Food category declined during the month, owing to price decreases of the items in Housing, Water, Electricity, Gas and other Fuels, Transport, and Health sub-categories.

The core inflation, which reflects the underlying inflation in the economy, remained unchanged at 5.6% in October on Y-o-Y basis. However, annual average core inflation increased to 5.4% in October from 5.2% in September.