admin“The year-on-year inflation rate for the month of October 2012 as measured by the all items Consumer Price Index (CPI) stood at 3,38 percent, gaining 0,14 percentage points on the September 2012 rate of 3,24 percent,” reported Zimstats in a statement on last week.
Observers contend that the rise in the headline inflation is an expected trend during this fourth quarter of the year as the market enters the festive season.
The country has tended to suffer from speculative tendencies on the part of retailers as they seek to capitalise on increased spending this time of the year.
As would be expected, food items were largely responsible for the increase in the annual inflation rate.
A breakdown of the annual inflation statistics shows that Food and Non-Alcoholic beverages inflation prone to transitory shocks stood at 5,20 percent while Non-food inflation stood at 2,58 percent.
On the other hand, on a monthly basis, the inflation rate for October stood at 0,26 percent shedding 0,20 percent on the September rate of 0,46 percent. As with the year-on-year inflation figures, food items contributed the most to the monthly inflation rate.
Zimstats figures show that month-on-month Food and Non-Alcoholic beverages inflation stood at 0,46 percent in October, shedding 0,62 percent on the September rate of 1,08 percent.
Month-on-month non-food inflation stood at 0,17 percent, down 0,02 percent on the September rate of 0,19 percent.
Zimbabwe’s annual rate of inflation has generally remained steady during the year to date, moving slightly downwards as production within the economy remains depressed due to liquidity challenges and edging upwards in response to inflationary pressures such as movement in the United States dollar/South African rand exchange rate.
It, however, remains largely in line to meet this year’s official target range of around 5 percent.
Online Reporter