Annual inflation rate down to 21 p.c.

By JUDITH NAMUTOWE -

ZAMBIA’S annual rate of inflation for June 2016 has gone down to 21 per cent from 21.3 per cent recorded in May.
The annual rate of inflation, as measured by all items consumer price index (CPI) for June 2016, decreased to 21 per cent compared to 21.3 per cent which was recorded in May, 2016.
Central Statistical Office (CSO) assistant director Goodson Sinyenga said of the total annual rate of inflation recorded in June 2016, food and non-alcoholic beverage products accounted for 13 percentage
points, while non-food products accounted for eight percentage points.
He said this means that on average, prices increased by 21 per cent between June 2015 and June 2016.
“The decrease in the annual rate of inflation was mainly attributed to decreases in prices of food items such as dried Kapenta, mealie-meal and meat products,” Mr Sinyenga said.
He said the annual food inflation for June was recorded at 25.3 per cent compared to 25.8 per cent recorded in May 2016, indicating a decrease of 0.5 percentage points.
In terms of provincial contributions, Lusaka had the highest contribution of 6.3 percentage points to the overall annual rate of inflation of 21 per cent.
Copperbelt Province had the second highest provincial contribution of 3.7 percentage points.
Mr Sinyenga said Western Province had the lowest contribution of 0.7 percentage points.
And Zambia recorded a trade deficit in May 2016 valued at K65.2 million, representing a 91.5 per cent  decrease from  K765 million recorded in April 2016.
This means that the country imported more than it exported in nominal terms.