BUUMBA CHIMBULU WRITES
ZAMBIA has for the first time this year recorded a reduction in the annual inflation rate of 15.9 percent.
The inflation rate for June 2020 has slowed down to 15.9 percent from 16.6 percent in May 2020, making it the first time the rate has slowed down this year.
The rate started this year with a 12.5 percent, but moved further up in February to 13.9 percent and 14.0 percent in March.
It then went up to 15.7 percent in April before getting to 16.6 percent in May.
Zambia Statistics Agency (ZSA) Interim Statistician, Mulenga Musepa, announced yesterday in Lusaka at a media briefing that this month’s annual inflation rate had slowed down due to reductions in prices of food items.
Mr Musepa explained that food inflation decreased to 16.3 percent from 17.5 percent.
“The decrease in the annual food inflation was mainly attributed to decreases in prices of food items such as cereals and fish,” he said.
“The June 2020 monthly overall inflation rate decreased to 0.2 percent from 1.6 percent the previous month. This was due to a slowdown in monthly food and non-food inflation,” he said.
He said monthly food inflation in June decreased to -0.6 percent from 1.5 percent in May 2020.
He attributed the decrease in the monthly food inflation to price decrease of food items such as Breakfast Mealie meal, Roller Mealie meal and Maize Grain.
Mr Musepa indicated that monthly non-food inflation decreased to 1.1 percent from 1.7 percent in May 2020.
“The decrease in the monthly food inflation rate was mainly attributed to price decreases of pots, mugs, bar soap, washing powder, hair dressing in salons, hammer milling charges,” he said.
He said that the unscrupulous people are going round business premises conducting fake inspections and coming up with trumped up charges.
Mr Musepa said food and non-alcoholic beverages accounted for 8.7 percentage points, while non-food items accounted for 7.2 percentage points.