Comesa records drop in annual inflation

Business Reporter
THE year-on-year inflation rate within the Common Market for Eastern and Southern Africa (Comesa) region dropped to 129,8 percent in June 2021 from 131,1 percent in May 2021.

Comesa, which has a market population of 583 million, comprises 21 member States including Zimbabwe.

In a latest statement, Comesa said the slowdown on year-on-year inflation during the period under review was due to price changes in over 10 key areas of expenditure.

“The year-on-year inflation rate for the Comesa region dropped from 131,1 percent in May 2021 to 129,8 percent in June mainly due to prices changes in 12 key areas of expenditure namely clothing and footwear, housing, water, electricity, gas and other fuels, household equipment, transport and communications and recreation and culture,” it said.

According to the Harmonised Consumer Price Index (HCPI) compiled by the statistics unit at the Comesa secretariat, other areas that recorded price changes included education sector, restaurants and hotels, food and non-alcoholic beverages, alcoholic beverages and tobacco, furnishings, miscellaneous goods and services.

The HCPI is an indicator of inflation and price stability for the Comesa region.

It is a consumer price index, which is compiled according to a methodology that has been harmonised across Comesa countries.

The month-on-month inflation rate in the Comesa region as measured by HCPI-Comesa stood at 9,5 percent for the month of June 2021 from 8,1 percent registered in May 2021. It was 10 percent in June last year.

The trading bloc said participating member States that contributed to HCPI-Comesa registered the following rates of total inflation in June 2021 compared to June 2020.

Burundi (-5,4 percent); Democratic Republic of Congo (+9,9 percent); Djibouti (+0,8 percent); Egypt (+1,3 percent); Eswatini (+6,4 percent); Ethiopia (+22,2 percent); Kenya (+6,1 percent); Madagascar (+8,2 percent); Malawi (+9,3 percent); Mauritius (+5,3 percent); Rwanda (-0,4 percent); Seychelles (+6,6 percent); Sudan (+315,4 percent); Tunisia (+5,9 percent); Uganda (+2 percent); Zambia (+30,6 percent); and Zimbabwe (+105,9 percent).