Latest news with #NationalConsumerPriceIndex
Business Recorder
21-05-2025
- Business
- Business Recorder
Sri Lanka's consumer prices drop 0.8% in April year/year
Sri Lanka's consumer prices fell 0.8% year-on-year in April after a 1.9% decline in March, official data showed on Wednesday, as the economy recovers from its deepest financial crisis in decades. The National Consumer Price Index captures broad retail price trends and is released with a lag of 21 days every month. The rate of price increases in the food category climbed to 2.9% in April from 0.8% in March. In the non-food category, however, prices fell 3.7% in April compared with the same month last year, compared with the previous month's 4.1% annual drop. 'Inflation is starting to come up but largely in line with expectations. By August inflation is likely to turn positive,' said Shehan Cooray, head of research at HNB Stockbrokers. Sri Lanka, which was plunged into a financial crisis due to a record shortage of dollars three years ago, has recovered strongly, posting 5% economic growth last year. The island nation has seen inflation reduce significantly over the last year, supporting a gradual lowering of interest rates. The Central Bank of Sri Lanka is expected to keep its policy rates unchanged at 8% on Thursday to maintain stable growth and deepen the island nation's recovery from the financial crisis.
Yahoo
14-05-2025
- Business
- Yahoo
Experts issue dire warning as food prices rise faster than inflation: 'This process is affecting multiple regions worldwide'
A recent version of the Ibre Letter, a monthly economic analysis from Brazil's Institute of Economics at the Getúlio Vargas Foundation, explained why domestic food prices are rising faster than the country's general inflation. And while the answer was complex, a lot of it came down to changes in weather and climate, Agência Brasil reported. Ibre's research included statistics from the National Consumer Price Index (IPCA), which found that Brazil's food and beverage prices had risen by 7.25% over 12 months as of February. This was nearly twice as much as the overall inflation index of 4.56%. Between 2012 and 2024, household grocery and food prices rose by 162%. Ibre included several specific examples that illustrate the extreme increases, including fruit (up 299%) and vegetables (up 246%). When compared to the overall IPCA of 109%, several of these categories outpaced overall inflation by a factor of nearly two or three times. Ibre's author, Luiz Guilherme Schymura, explained that much of it comes down to a short supply, which has been intensified by rising global temperatures. A spike in extreme weather events and meteorological unpredictability, which are fueled by the planet's warming atmosphere, "are disrupting the supply of commodities [goods traded at international prices] and food products," he told Agência Brasil. "This process is affecting multiple regions worldwide, with Brazil being notably impacted." With severe droughts, flash floods, heat waves, tornadoes, and hurricanes all growing in severity and frequency due to the warming planet, farmers are anxious about being able to sustain stable harvests in the future. The issue extends beyond crops, too. Beef production dropped substantially in 2021 after pastures suffered significant damage from drought. In 2023, it had reached its lowest point in at least 10 years, Agência Brasil explained. The issue of a dwindling food supply isn't limited to just Brazil, and Brazilians won't be the only ones facing its impact. Ibre explained that agricultural production around the globe grew an average of 2.6% per year in the 1990s and 2000s but slowed to 1.9% in the 2010s. Much of this is due to unfavorable weather and climate conditions. Farmers worldwide have faced difficulties due to these factors, from sweetcorn in the Netherlands, to soybeans in Argentina, to apples in India. Ibre put it frankly: "Brazil is not producing enough food for its own population and the world. Crop production is growing at a slower pace than needed to meet domestic and international demand for food, particularly for human consumption." Do you worry about how much food you throw away? Definitely Sometimes Not really Never Click your choice to see results and speak your mind. The Ibre Letter emphasized that "the rise in food prices is not a temporary phenomenon" and therefore must be dealt with both now and in an ongoing way. Schymura recommended several practical approaches for both farmers and policymakers, all of which he says will help stabilize and boost the food supply. These suggestions include incorporating a wider variety of crops, building storage structures and public storage areas, and providing targeted credits to farmers. On an individual level, learning to shop smarter at the grocery store can help you squeeze more savings out of your grocery bill. And if you really want to cut back on grocery costs, learning to grow your own food is a great way to both save money and eat healthier. Join our free newsletter for easy tips to save more and waste less, and don't miss this cool list of easy ways to help yourself while helping the planet.
Business Recorder
24-04-2025
- Business
- Business Recorder
‘Rs1.6trn to be saved': NEPRA says to discontinue dollar-based indexations for four power plants
The National Electric Power Regulatory Authority (NEPRA) has decided to discontinue the dollar-based indexations for four power plants, Business Recorder learnt on Thursday. The plants include Haveli Bahadur Shah, Balloki, Northern Power Generation Company Limited (NPGCL), and Central Power Generation Co. Ltd (CPGCL) power plants. These prudent measures will result in a projected saving of Rs1.6 trillion over the life of the projects, including Rs22 billion in the current financial year alone The decision was taken in a public hearing held on Thursday at the headquarters in Islamabad, NEPRA said in a press release. 'In a landmark move, NEPRA has decided to discontinue dollar-based indexations for these plants, transitioning instead to rupee-based indexations fixed for the entire useful life of the power projects. Renewable energy push: Nepra may approve tariff of KE's 2 PV solar projects 'This strategic revision aims to curb foreign exchange exposure and reduce tariff volatility for consumers,' the press release read. 'Further reforms include capping the indexation for Operations & Maintenance (O&M) costs to 70% of rupee devaluation, down from the previous 100%. Local O&M expenses will now be indexed to either 5% or the 12-month average of the National Consumer Price Index (NCPI), whichever is lower.' NEPRA also announced to rationalise the return on equity (ROE) structure. 'Plants will now receive 35% of the ROE as fixed, with the remaining 65% linked directly to the actual operation of the plant — a significant departure from the previous 100% guaranteed ROE model. 'These prudent measures will result in a projected saving of Rs1.6 trillion over the life of the projects, including Rs22 billion in the current financial year alone,' it said.
