Inflation recedes

Source: Inflation recedes | Daily News

HARARE – Zimbabwe’s annual inflation shed 0,3 percentage points in March to close the month at 2,68 percent, latest data from the national statistical agency show.

“This means that prices as measured by the all items Consumer Price Index increased by an average of 2,68 percent between March 2017 and March 2018,” Zimstat said yesterday.

The year-on-year Food and Non Alcoholic beverages inflation prone to transitory shocks stood at 4,54 percent whilst the Non-food inflation rate was 1,81 percent.

However, the month-on-month inflation rate in March 2018 was -0,25 percent shedding 0,33 percentage points on the February 2018 rate of 0,08 percent.

Zimstat noted that the month-on-month Food and Non Alcoholic Beverages inflation rate stood at -0,03 percent in March 2018, gaining 0,15 percentage points on the February 2018 rate of –0,18 percent.

The month-on-month non-food inflation rate stood at -0,36 percent, shedding 0,57 percentage points on the February 2018 rate of 0,21 percent.

NKC Research, however, said the country’s inflation data should be taken with a pinch of salt as black market premiums on foreign currency are not factored in.

“When new Zimbabwe inflation data gets released, it needs to be interpreted with caution since there appears to be deeper underlying factors at play within the country’s inflation environment,” the equities firm said.

— The Financial Gazette