High vegetable prices and the hefty charges on the side of the pulse of that market have pushed the inflation for the month of November to a 40 month high of 5.54% on the consumer price index (CPI) in the country. This has been on the back of incessant rainfalls and the mass flooding of fertile plains, which have rendered them unfruitful for the current year in terms of extracting a good harvest and trying to subside the inflation regime brought in by the natural calamity. The prices of onions have soared through the roof, and though the picture still looks grim front he consumer perspective, the prices have been controlled and will be falling based on inputs from various sources as the country has imported onions and pulses from other countries in the African continent to conform on the consumer demands in the country. The food inflation which is measured by the consumer food price index rose an astounding 10% in the last month which was the highest in about five years, and this has also led the central bank to put a leash on the market liquidity that the bank was so eager to infuse on the back of a shrinking factory output which shrank another 4% in the last month alone despite it being the festival season and the demands were supposed to surge which haven’t materialized in the Outpost if observed correctly.
The bankers have tried to play ball with the market forces, but the due hasn’t been obtained as of yet, with a lot of big banks playing dirty to keep their books on for a subtle green to promote their investor-friendly stance and a lack of openings for priority lending in cash strapped economy, there are only so many ways that the situation can be curtailed and it has surmounted to be a daunting task for the central bank and all the bankers who are involved in the policy decision making for the country.