The recent appreciation of the Kwacha and the subsequent adjustment in retail prices of Motor vehicles and other imported products in the inflation basket have contributed to the decrease in Zambia’s Annual inflation rate for August to 24.4%
Zambia’s annual inflation rate for August 2021 has decreased to 24.4% from 24.6% recorded in July 2021. This indicates that on average prices of goods and services increased by 24.4% between August 2020 and August 2021 reflecting the easing of inflation for non-food items.
Zambia Statistics Agency (ZamStats), interim statistician General Mulenga Musepa said the decrease in the annual rate of inflation was mainly attributed to price movements in non-food items.
He was speaking during the ZamStats monthly bulletin for August 2021 attended by the Zambian Business Times-ZBT. Some of the motor vehicles sort out for included Toyota Hilux, Toyota corolla, Nissan Almera 1.5 L Acenta, second hand vehicles and Nissan pick Hardbody.
The price of a Toyota Hilux reduced from K1,426,950 in July to K1,085,775 in August (11.77%), Toyota corolla reduced to K885,500 in August from K1,275,195 in July (34.61%), the Nissan Almera 1.5 L Acenta reduced to 553,168 in August from K622,336 (11.88%).
The price of the Nissan Pick hardbody reduced from 697,840 to 580,233.50 in August (3.34%) while the price for second hand vehicles reduced to K82, 328.58 from K85, 924.25 in July 2021 (27.20%).
“The annual non-food inflation rate for August 2021 was recorded at 16.3 percent from 17.0 percent in July 2021. The decrease in inflation rate was mainly attributed to Price decreases in Purchases of Motor vehicles (Toyota Hilux, Toyota corolla, Nissan Almera 1.5 L Acenta, Nissan Hardbody),” Mupesa said.
He said the annual food inflation rate for August, 2021 was recorded at 31.6 percent compared to 31.2 percent recorded in July 2021, an increase of 0.4 percentage points.
Mupesa said this was mainly attributed to increases in prices of food items such as Meats (Brisket, Mixed Cut, T-bone, Beef Sausages, Goat meat, chicken frozen and chicken live); and Fruits (Oranges, Lemons, Bananas, Apples).
Among the most essential food items, Beef sausages the year on year inflation rate of 67.06%, Brisket 57.71%, Mixed Cut 59.72%, T-bone 60.16%, Goat meat , chicken frozen 58.90%; and chicken live 88.60% and Fruits (Oranges 38.20%, Bananas 23.82%, Apples 43.97%).
Mupesa said an analysis on a monthly basis, of retail prices between July, 2021 and August, 2021 shows that the national average price of a 25 kg bag of Breakfast Mealie Meal decreased by 0.21% from K141.77 to K 141.47 while the national average price of a 25 kg bag of Roller Mealie Meal increased by 0.5 % from K110.90 to K111.45.
He said the national average price of a 20-litre tin of Maize Grain increased by 2.45% from K58.38 to K59.81.
Mupesa said on an annual basis, the analysis of retail prices between August, 2020 and August, 2021 shows that the national average price of a 25kg bag of Breakfast Mealie Meal increased by 10.69% from K127.81to K141.47 while the national average price of a 25 kg bag of Roller Mealie Meal increased by 12.87%nfrom K98.74 to K111.45.
He said the national average price of a 20-litre tin of Maize Grain increased by 15.13 percent from K51.95to K59.81.
