October 2008 Inflation Shoots To 15.2 percent

The Zambian October 2008 inflation rate increased from 14.2 in September 2008 to 15.2 percent.

This was according to the data released by the Central Statistics Office (CSO) on 3rd November 2008.

In the same period last year, the annual inflation rate increased by 6.2 percentage points, from 9.0 percent in October 2007 to the current 15.2 percent.

The increment from September 2008 to October 2008 was due to the increase in the cost of food, transport (air fares, new motor vehicles) and hotel accommodation.Food products accounted for 8.4 percentage points and non-food products accounted for 6.8 percentage points.

According to the CSO, the annual food inflation rate was recorded at 17.6 percent in October 2008, whereas in September 2008 it was 16.2 percent.

What was the most contributing factor to food inflation?

The CSO said this was due to increases in the cost of maize meal, maize grain, other cereals and cereal products, kapenta, fresh fruits, dried beans, cooking oil and processed food products.

However, there were declines in the cost of meat and vegetables which partially offset the increments.

And, the Food Reserve Agency (FRA) announced that the crop purchasing exercise which opened on June 1 was closed on 31st October 2008. It further stated that it was consolidating data from depots countrywide to determine the total purchases and payments to farmers.

The FRA’s public relations officer, Mr. Mwamba Siame, said the exercise was going to take three weeks to allow for a thorough verification of figures, and once compiled, the information on the total purchases and payment to farmers will be given to the public through various media houses.

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