Koshi Inflation Hits 6.26%: Rural Areas See 8.42% Cost Surge

The latest Consumer Price Index (CPI) figures show that Koshi Province is experiencing a sharp inflationary trend, with overall prices rising by 2.84% year-on-year. While food and beverage costs in Koshi increased only slightly by 0.43%, the real pressure is coming from the non-food and services sector, where inflation surged by 6.26%. This includes expenses such as education, housing, clothing, healthcare, and utilities, which have directly hit household budgets.

A deeper look at the data reveals a clear rural-urban divide. In rural Koshi, inflation in non-food and services has spiked to a worrying 8.42%, much higher than the urban level of 5.25%. This indicates that families in rural areas are shouldering the heaviest burden, especially in essential services, while urban households are somewhat shielded by better access to markets, supply chains, and services. Interestingly, urban Koshi even saw a -3.07% fall in food prices, while rural areas had only a modest -2.39% drop, showing how uneven inflationary pressures are between regions.

This data highlights an urgent policy challenge. If unchecked, rising non-food costs in rural Koshi could erode disposable income, reduce demand, and widen economic inequality. For policymakers, targeted subsidies, improved supply mechanisms, and rural cost-of-living relief programs are essential to cushion vulnerable groups from sustained price hikes.