Kathmandu. KATHMANDU: Nepal Rastra Bank (NRB) has revised the consumer price index (CPI) calculation system and its basic structure. The central bank has changed the calculation system and basic structure in view of the changes taking place in the country.

The base year of the index has been updated to accurately reflect the changing consumption pattern of Nepalis and to bring it in line with international standards. The central bank has prepared a study report on the compilation of consumer price index in Nepal. According to the provisions of the report, the structure of the base year (reference period) and expenditure burden of the CPI has also been changed.

According to the Nepal Rastra Bank, this is the sixth change in the base year (reference period) of the Consumer Price Index (CPI) so far. The Nepal Rastra Bank (NRB) has set the monthly consumer price data for the new revised base year 2023÷24 (fiscal year 2080÷81).

So far, the central bank has been taking 2014÷15 i.e. 92071÷720 as the base year. Now, the consumer price will be measured on the basis of the fiscal year 2080÷81. It replaces the base year of 2014÷15, which has been used for the past five decades.

Similarly, this time the Rastra Bank has taken a new and important step to determine the weight of CPI. Instead of conducting its own separate household budget survey, the data on detailed expenditure from the Fourth Nepal Standard of Living Survey, 2022÷23 has been used, eliminating duplication of resources and coordinating with the National Statistical Office.

The NRB report confirms that there has been a structural change in the consumption pattern of Nepali households in recent times. The weight of food and beverages group in the overall CPI basket decreased to 35.49 percent from 43.91 percent in the past. In contrast, the weight of non-food and service groups increased from 56.09 percent to 64.51 percent.