Dhaka: The government on Thursday set a target of keeping down the inflation to 5.5 per cent in the proposed budget for fiscal year 2017-18.

‘GDP growth rate will be 7.4 per cent in FY18 and inflation will come down to 5.5 per cent by the end of the fiscal year,’ said Finance Minister A M A Muhith while placing the proposed budget in the Jatiya Sangsad.

In his speech, the minister said despite the fuel price is currently rising in the international market inflation in Bangladesh has been declining steadily. By the end of March 2017, 12-month average inflation rate stood at 5.39 percent, compared to 6.10 per cent in the same period last year.

‘I believe that, at the end of current fiscal year the food and non-food inflation rates will remain within the target as a result of macroeconomic stability, supportive fiscal and monetary policy, satisfactory agricultural production despite loss of agricultural crop in the haor region due to flash floods, and improved domestic supply system,’ continued Muhith.