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ZiG monthly inflation rate up by 0,7%
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Zimbabwe's new currency, Zimbabwe Gold (ZWG), recorded a slight inflation decline of 0.7% in April 2025, while the United States dollar (USD) also saw a modest depreciation of 0.2%, according to the Zimbabwe National Statistics Agency (Zimstat).
Zimstat's report, released Friday, revealed that ZWG's month-on-month inflation rate stood at 0.6% for April, a 0.7 percentage point increase from March's rate of -0.1%. On a year-on-year basis, the ZWG inflation rate was recorded at a steep 85.7%, reflecting persistent underlying inflationary pressures.
Despite these figures, economic analysts maintain that the fluctuations are still within manageable margins and do not pose immediate risks to market stability. They attribute the contained inflationary environment to continued tight liquidity controls by the Reserve Bank of Zimbabwe (RBZ).
In a significant policy shift last week, the government issued Statutory Instrument 34 of 2025, allowing general traders to set the official exchange rate. Analysts expect this liberalisation measure to curb speculative behavior and promote greater discipline within the foreign currency market over time.
Zimstat also reported that the US dollar month-on-month inflation rate climbed slightly to 0.2% in April 2025, compared to 0.1% in March. The USD's year-on-year inflation rate was pegged at 14.4%.
"The weighted month-on-month inflation rate was 0.3% in April 2025, gaining 0.3 percentage points on the March 2025 rate of 0.0 percent," Zimstat said. "The weighted year-on-year inflation rate for April 2025 stood at 26.2 percent."
The agency further highlighted poverty statistics, revealing that the Food Poverty Line (FPL) - the minimum required to meet daily energy needs - for one person in April 2025 was ZWG 862.06. Meanwhile, the Total Consumption Poverty Line (TCPL), which covers both food and non-food essentials, was pegged at ZWG 1,263.41.
Authorities and market watchers alike will be keeping a close eye on how the ZWG performs in coming months, as the government and central bank continue efforts to stabilise the currency and build public confidence.
Zimstat's report, released Friday, revealed that ZWG's month-on-month inflation rate stood at 0.6% for April, a 0.7 percentage point increase from March's rate of -0.1%. On a year-on-year basis, the ZWG inflation rate was recorded at a steep 85.7%, reflecting persistent underlying inflationary pressures.
Despite these figures, economic analysts maintain that the fluctuations are still within manageable margins and do not pose immediate risks to market stability. They attribute the contained inflationary environment to continued tight liquidity controls by the Reserve Bank of Zimbabwe (RBZ).
In a significant policy shift last week, the government issued Statutory Instrument 34 of 2025, allowing general traders to set the official exchange rate. Analysts expect this liberalisation measure to curb speculative behavior and promote greater discipline within the foreign currency market over time.
"The weighted month-on-month inflation rate was 0.3% in April 2025, gaining 0.3 percentage points on the March 2025 rate of 0.0 percent," Zimstat said. "The weighted year-on-year inflation rate for April 2025 stood at 26.2 percent."
The agency further highlighted poverty statistics, revealing that the Food Poverty Line (FPL) - the minimum required to meet daily energy needs - for one person in April 2025 was ZWG 862.06. Meanwhile, the Total Consumption Poverty Line (TCPL), which covers both food and non-food essentials, was pegged at ZWG 1,263.41.
Authorities and market watchers alike will be keeping a close eye on how the ZWG performs in coming months, as the government and central bank continue efforts to stabilise the currency and build public confidence.
Source - NewZimbabwe
