Inflation rate declines to 5.25 percent
Inflation rate declines to 5.25 percent
The rate of inflation has decreased to its lowest point with the latest average figure in decline compared with the past 16 months.
As reported in the Socio Economic newspaper yesterday, the Ministry of Planning and Investment revealed that due to the rising prices of products and services, the inflation rate for 2014 has declined from 5.32 percent to 5.25 percent in comparison with the same period last year.
The inflation percentage rate is divided into different categories and the prices of products with the rates having slowed over the past 12 months.
The inflation rate of food and non-alcoholic beverages stands at 8.57 percent, rice is 17.34 percent and meat is 9.03 percent.
Meanwhile fish and seafood are 6.44 percent, fruit is 7.66 percent and vegetables are 7.41 percent.
Food served at hotel restaurants stands at 10.06 percent, food served at street stalls is 9.98 percent and food served in general restaurants is 8.23 percent.
The rate of apparel and shoes is 6.19 percent and alcohol and cigarettes is 5.61 percent.
Public works and transport is the sector which is most affected due to the price of fuel.
The government plans to work hard and increase the growth of GDP to at least 8 percent per year and to ensure stable macroeconomic conditions.
Deputy Governor of the Bank of the Lao PDR, Mr Sonexay Sithphaxay spoke at a press conference, where he answered questions raised by the public at last year's 6th Ordinary Session of the National Assembly.
The questions raised were in regards to inflation and other financial issues of concern.
Despite the campaign to use the national currency (kip) being strongly promoted, the Lao people believe foreign currencies were still the most valuable assets, Mr Sonexay said.
“The law enforcement must be stricter and vendors and businesspeople who fail to follow the regulations must be punished,” he said.
“Businesspeople should also be made aware of the laws concerning the national currency.”
Mr Sonexay said the line ministries such as the Ministry of Industry and Commerce, inspection officers and market management sectors, who were in charge of the inspection of the price of goods in kip, need to enforce the regulations and ensure the payments were made in kip.
“To achieve the goal of national currency promotion, Bank of the Lao PDR as a key organisation and other government sectors, need to continue working on keeping the currency stable, securing the exchange rate and keeping the rate of inflation lower than the rate of economic growth,” he said.
vientiane times
