Zambia’s inflation declines
By Nawa Mutumweno – Zambia’s inflation rate has dropped to 6.9 percent in October from 7 percent the previous month due to a reduction in the annual food inflation rate.
According to Central Statistical Office (CSO) director John Kalumbi, the annual food inflation rate decreased by a percentage point to 5.9 percent recorded in September.
Speaking at a press briefing in Lusaka on October 31, 2013, Mr. Kalumbi said the non-food inflation increased by a percentage point to 8 percent in October from 7.4 percent in September.
‘’The annual rate of inflation, as measured by the All-items Consumer Price Index for October 2013 was recorded at 6.9 percent from the 7 percent recorded in September. This means that on average, prices increased by 6.9 percent between October 2012 and October 2013,’’ he elaborated.
Of the total 6.9 percent inflation, food and non-alcoholic beverage products accounted for 3.1 percentage points while non-food products accounted for a total of 3.8 percentage points.
However, a comparison of retail prices between September and October indicates that the national average price of 25kg of breakfast mealie meal increased by 1.1 percent to K64.90 from K64.22. The national average price of 25kg of roller meal increased by a percentage point to K47.81 from K47.40.
Meanwhile, Zambia recorded a trade surplus valued at K53 million in September from K58 million previously, meaning that the country exported more than it imported in nominal terms.
The country has continued to record trade surpluses since January with the highest valued at K364 million in April and the lowest trade surplus was recorded in September at K53 million, he added.
Zambia’s major export products in September were copper cathodes and a section of refined copper.
Other exports were from the consumer goods, capital goods and raw materials categories which collectively accounted for 17.9 percent.
It is projected that Zambia’s inflation rate will be at 7 percent at the end of 2013.
