Economists hail 0,2pc rate as policy triumph

Sikhulekelani Moyo, Zimpapers Business Hub

ECONOMISTS have commended the Second Republic’s initiatives in containing inflation, saying that the 0,2 percent weighted inflation recorded in October signifies a monumental success in policy commitment.

According to Zimstat’s recent statistics, the weighted month-on-month inflation rate was 0,2 percent in October 2025, gaining 0,1 percentage points on the September 2025 rate of 0,1 percent.

This means that prices, as measured by the all-items weighted consumer price index (CPI), increased by an average rate of 0,2 percent from September 2025 to October 2025.

Mr Stevenson Dlamini, an economist, said the inflation rate demonstrates that the brutal disinflationary process has finally delivered the foundational stability required for the entire Zimbabwean economy.

“The 0,2 percent inflation figure signifies a monumental success in policy commitment, demonstrating that the brutal disinflationary process has finally delivered the foundational stability required for the entire Zimbabwean economy,” said Mr Dlamini.

“Now, the challenge shifts from taming the inflationary beast to navigating the precarious path of stimulating non-inflationary growth and rigorously protecting the hard-won credibility of the new currency.”

The weighted consumer price index is a combined measure of ZWG and USD inflation.
Zimstat said the weighted month-on-month food and non-alcoholic beverages inflation rate was 0,4 percent, gaining 0,3 percentage points on the September 2025 rate of 0,1 percent.

The October 2025 weighted month-on-month non-food inflation rate was 0,1 percent, gaining 0,3 percentage points on the September 2025 rate of –0,2 percent.

Another economist, Mr George Nhepera, said: “Our inflation is now low and stable on a month-on-month period, which is a direct result of tight monetary policy being implemented by the central bank.”

“Nevertheless, it is our annual inflation, currently high and of a double-digit figure, which is of grave concern to business and investors both locally and internationally.

“As economists, we are confident of the central bank’s target of attaining single-digit inflation within the next six months, and this will align our country with inflation levels within the Southern Africa Development Community (SADC) region.”

The weighted year-on-year inflation rate (annual percentage change) for the month of October 2025, as measured by the all-items Weighted Consumer Price Index (CPI), was 16,8 percent.

This means that prices, as measured by the all-items weighted CPI, increased by an average rate of 16,8 percent from October 2024 to October 2025.

In his State of the Nation Address (SONA) on Tuesday, President Mnangagwa said the tight monetary and fiscal environment in the economy has remained favourable to support sustained economic activity.

“My Government is diligently implementing the necessary policies, measures, and initiatives to maintain currency stability of the ZWG and control inflation. Going into the future, the trend in macroeconomic stability is expected to become the status quo in our country,” said President Mnangagwa.

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