ZIMBABWE’S headline inflation has increased by 0,05 percent to close April at 4,03 percent, official figures show. The Zimbabwe National Statistical Agency reported that the annual rate of inflation reflected an upward trend last month after a decline in the
“The year-on-year inflation rate for the month of April as measured by the all-items Consumer Price Index stood at 4,03 percent, gaining 0,05 percent on the March rate of 3,98 percent,” said Zimstats.
This means that on a year-to-year basis (2011-2012), prices increased by an average 4,03 percent.
Last month, ZimStats reported the annual rate of inflation for March was 4 percent, but the latest CPI figures show that its was actually 3,98 percent.
ZimStats attributed the apparent “mistake” to having rounded off the figure in the earlier report since there had been no increase, but had to use the actual figure in the current CPI in order to show the 0,05 increase.
The year-on-year food and non-alcoholic beverages inflation prone to transitory shocks stood at 4,8 percent while non-food inflation stood at 3,68 percent.
Month-on-month inflation rate for April was, however, declined to 0,19 percent, shedding 0,24 percent on the previous month rate of 0,43 percent. It therefore meant that prices increased by an average 0,19 percent between March and April this year.
According to ZimStats, the month-on-month food and non-alcoholic inflation stood at 0,14 percent in April, declining 0,66 percent on the March rate of 0,80 percent.
At the same time, the month-on-month non-food inflation stood at 0,21 percent, shedding 0,05 percent on the March rate of 0,26 percent.
Economists have projected that the annual inflation rate could possibly exceed the 5 percent targeted by the Government by the close of the year due to higher food and fuel prices.
Others say utility tariffs could also drive inflationary pressures in the long-run.
“A possible rise in administered prices such as electricity tariffs and other rates adjustments later on during the year will put pressure on prices,” said BancABC economist Mr James Wadi.
Meanwhile, the CPI for last month stood at 101,56 compared to 101,37 in March and 97,6 in April last year.