Business / Economy
Zimbabwe inflation declines
16 Jan 2014 at 07:55hrs | Views
THE country's annual inflation shed 0,21 percentage points to end the month of December, 2013 at 0,33 percent due to the low level of growth in prices for goods which in turn implies that economic growth is currently facing severe challenges.
Prices of most goods have remained almost stagnant largely due to weak aggregate demand and the depreciation of the South African rand against the United States dollar. Retailers have little room to raise prices because disposable incomes are not growing due to the economy's illiquidity.
Statistics released by Zimstat show the month-on-month inflation in December stood at -0,08 percent after shedding 0,17 points from 0,09 percent the previous month.
The year-on-year food and non alcoholic beverages inflation stood at -2,20 percent whilst the non-food inflation rate was at 1,61 percent.
The month-on-month food and non-alcoholic beverages inflation stood at -0,41 percent gaining 0,19 percentage points on the November rate of -0,60 percent.
Prices of most goods have remained almost stagnant largely due to weak aggregate demand and the depreciation of the South African rand against the United States dollar. Retailers have little room to raise prices because disposable incomes are not growing due to the economy's illiquidity.
The year-on-year food and non alcoholic beverages inflation stood at -2,20 percent whilst the non-food inflation rate was at 1,61 percent.
The month-on-month food and non-alcoholic beverages inflation stood at -0,41 percent gaining 0,19 percentage points on the November rate of -0,60 percent.
Source - herald
