Inflation shoots to 25.6 percent

THE inflation rate has accelerated for the fifth straight month to 25.6 percent due to food soaring prices.

Inflation rate for January, 2021 increased to 25.6 percent from 20.2 percent recorded in December

2020, an increase of 5.4 percentage points.

This is according to Mulenga Musepa, the Interim Statistician General at the Zambia Statistics Agency.

Mr Musepa attributed the acceleration to increase in prices of food items such as bread and cereals, vegetables fats and a well as eggs.

“The annual non-food inflation rate for January 2021 was recorded at 16.7 percent, down from 18.1 percent in December 2020.

“The slowdown in inflation rate was mainly attributed to the base effect in Household appliances (Refrigerator, Electric Stove, Electric iron, Electric Fan) and Gas,” Mr Musepa announced yesterday.

He explained that the monthly food inflation rate for January, 2021 was recorded at 5.7 percent, an increase of 0.4 percentage points from 5.3 percent recorded in December, 2020.

This development, he said, was mainly attributed to increases in prices of food items such as vegetables, table salt and Eggs.

“Non-Food inflation rate for January, 2021 was recorded at 1.3 percent, indicating an increase of 0.7 percentage points from the 0.6 percent recorded in December, 2020.

“This development was mainly attributed to price movements of Purchase of vehicle, Private School fees (Primary and Secondary) and College fees,” Mr Musepa said.

He said the monthly inflation rate for January, 2021 was recorded at 3.7 percent, an increase of 0.5 percentage points from 3.2 percent the previous month.

The increase, he said, in the monthly inflation rate was attributed to general price movements of both food and non-food items.