Inflation Creeping Up To 5%, Says Bank Chief

Advertisement

Advertisement

Advertisement

NASSAU, BAHAMAS – Residents can expect a continual rise in prices as the Central Bank is reporting that the inflationary rate is creeping up to five percent. The rise comes as the United States is projecting a recession in the coming months, but Central Bank Governor John Rolle says that doesn’t necessarily mean a contraction for the local economy.

As Bahamians continue to feel the brunt of rising prices, Central Bank Governor John Rolle says the local inflationary rate is creeping up to five percent.

His comments follow an IMF World Economic Outlook Report which revealed inflation is expected to remain stubbornly high adding a return to normalcy isn’t expected until 2024.

This, Rolle says, is still significantly higher than the last two years.

Back in April, the IMF projected consumer prices in The Bahamas will increase by 7.3% this year.

The Central bank Governor adding that BPL’s decision to absorb costs has contributed to a slower rise in inflationary rates.

He says electricity costs is a big component in how the inflation rate is estimated.

Bahamians have felt and spoke out against what seems to be escalating prices in food stores and at the gas pump.

With economists in the United States predicting a mild recession this year, Rolle says it doesn’t necessarily mean a contraction for the economy.