daniel chigunweBusiness Reporter
Zimbabweans are facing a sharp increase in the cost of living, with both food and total consumption poverty lines rising in January 2025, according to the latest figures,according to the latest figures released by the Zimbabwe National Statistics Agency (Zimstat).
This comes as the country grapples with a significant surge in inflation which went up to 10,5 percent this January.
The Food Poverty Line (FPL), representing the minimum cost of a basic food basket providing 2,100 calories per person per day, reached ZiG861,14 in January 2025. This indicates the amount of money needed to meet basic nutritional needs.
Even more concerning is the Total Consumption Poverty Line (TCPL), which encompasses both food and non-food essentials. The TCPL rose to ZiG1 255,78 per person in January 2025. This means an individual required at least this amount to avoid being classified as poor, highlighting the increasing financial burden on households.
The TCPL is derived by adding the non-food expenditure of individuals whose total spending equals the FPL to the FPL itself. Anyone whose consumption falls below the TCPL is considered poor.
The rise in poverty lines coincides with a dramatic jump in the inflation rate.
The ZWG Consumer Price Index (CPI) reached 183,76 in January 2025, up from 166,30 in December 2024.
This translates to a month-on-month inflation rate of 10,5 percent in January 2025, a substantial increase from 3,7 percent in December 2024.
This means that the average price of goods and services increased by 10,5 percent between December and January.
Both food and non-food inflation contributed to this surge. Food and Non-Alcoholic Beverages inflation stood at 6,8 percent in January, up from 4,6 percent in December.
Non-food inflation saw an even sharper rise, reaching 12,5 percent in January compared to 3,2 percent the previous month.
Bongani Ndlovu