July Inflation drops, says CSO

THE monthly inflation rate for July has declined from 21.0 percent to 20.2 percent. Central Statistical Office (CSO) Director John Kalumbi has attributed the drop to a reduction in the prices of vegetables and purchase of motor vehicles and airfares.

Mr. Kalumbi disclosed in Lusaka at a press briefing that the annual food inflation rate for July 2016 was recorded at 24.8 percent compared to 25.3 percent recorded in June, 2016 indicating a decrease of 0.5 percentages.

He said the decrease is due to lower prices of food stuffs such as tomatoes, beans and bananas among others.

Mr. Kalubi said the non-food inflation for July 2016 decreased to 15.3 percent from 16.5 percent recorded in June this year representing 1.2 percent.

He however disclosed that Zambia recorded a trade deficit in June this year amounting to K1, 905.9 million from K79.2 million recorded in May this year, representing an increase in imports than exports.

Mr. Kalumbi stated that the trade deficit shot up due to significant increases in imports by 41.2 percent from K5, 494.3 million in May to K7, 755.6 million in June this year.

The CSO Director pointed out that Zambia’s major imports are Kuwaiti and China.