Zambia's Annual Rate of Inflation Slows by 0.2 Percent
ZAMBIA’S annual rate of inflation has decreased by 0.2 per cent to 6.6 per cent in the month of July compared to 6.8 per cent recorded in June 2017 as the country records trade deficit valued at K335.2 million.
Central Statistical Office director John Kalumbi said the year on year inflation rate as measured by the all items Consumer Price Index (CPI) for July 2017 reduced to 6.6 per cent compared to 6.8 which was recorded in June 2017.
This means that on average, prices of increased by 6.6 per cent between July 2016 and July 2017.
“Movement of Consumer Price Indices show a steadily increasing trend in the prices of commodities during the period July 2016 to July 2017.
“However the annual inflation rates over the same period have shown a decreasing pattern from 20.2 per cent in July 2016 to 6.6 per cent in July 2017,” Mr Kalumbi said.
Of the total 6.6 per cent annual inflation rate recorded in July 2017, food and non-alcoholic beverages accounted for 2.9 percentage points while non-food items accounted for a total of 3.7 percentage points.
Mr Kalumbi said during a media briefing in Lusaka yesterday that the year on year annual food inflation for July 2017 was recorded at 5.3 per cent compared to 5.8 recorded in June 2017, representing a 0.5 percentage decrease.
He said the decrease in the annual food inflation rate was mainly attributed to price changes for bread and cereals.
On a monthly basis, Mr Kalumbi said a comparison of retail prices between July 2017 and June 2017 shows that the average price of a 25 kilogramme (KG) bag of Breakfast mealie meal decreased by 8.1 per cent from K96.37 to K88.58.
While the national price of a 25 Kg bag of Roller meal decreased by 11.9 per cent from K74.73 to K65.84.
In terms of provincial contribution, Lusaka Province had the highest of 1.9 percentage points to the overall annual inflation rate of 6.6 per cent recorded in July 2017.
“This implies that the price movements in Lusaka had the greatest influence on the overall annual inflation rate,” he said.
Southern Province had the second highest provincial contribution of 1.1 per cent percentage points.
Mr Kalumbi said Western Province had the lowest contribution of 0.2 percentage points.
And Zambia recorded a trade deficit valued at K335.2 million in the month of June 2017 compared to K333.8 million recorded in May 2017.
This represents a 0.4 per cent increase in the trade deficit.
Central Statistical Office director John Kalumbi said the year on year inflation rate as measured by the all items Consumer Price Index (CPI) for July 2017 reduced to 6.6 per cent compared to 6.8 which was recorded in June 2017.
This means that on average, prices of increased by 6.6 per cent between July 2016 and July 2017.
“Movement of Consumer Price Indices show a steadily increasing trend in the prices of commodities during the period July 2016 to July 2017.
“However the annual inflation rates over the same period have shown a decreasing pattern from 20.2 per cent in July 2016 to 6.6 per cent in July 2017,” Mr Kalumbi said.
Of the total 6.6 per cent annual inflation rate recorded in July 2017, food and non-alcoholic beverages accounted for 2.9 percentage points while non-food items accounted for a total of 3.7 percentage points.
Mr Kalumbi said during a media briefing in Lusaka yesterday that the year on year annual food inflation for July 2017 was recorded at 5.3 per cent compared to 5.8 recorded in June 2017, representing a 0.5 percentage decrease.
He said the decrease in the annual food inflation rate was mainly attributed to price changes for bread and cereals.
On a monthly basis, Mr Kalumbi said a comparison of retail prices between July 2017 and June 2017 shows that the average price of a 25 kilogramme (KG) bag of Breakfast mealie meal decreased by 8.1 per cent from K96.37 to K88.58.
While the national price of a 25 Kg bag of Roller meal decreased by 11.9 per cent from K74.73 to K65.84.
In terms of provincial contribution, Lusaka Province had the highest of 1.9 percentage points to the overall annual inflation rate of 6.6 per cent recorded in July 2017.
“This implies that the price movements in Lusaka had the greatest influence on the overall annual inflation rate,” he said.
Southern Province had the second highest provincial contribution of 1.1 per cent percentage points.
Mr Kalumbi said Western Province had the lowest contribution of 0.2 percentage points.
And Zambia recorded a trade deficit valued at K335.2 million in the month of June 2017 compared to K333.8 million recorded in May 2017.
This represents a 0.4 per cent increase in the trade deficit.