March 2009 Zambian Inflation dropped by 0.90 percent

The March 2009 Zambian inflation rate dropped down again from 14 percent in February 2009 to 13.1 percent in March 2009.

What were the contributing products in the decline of the March 2009 Zambia inflation? This was mainly due to reductions in food products such as fish, fresh vegetables, dried beans, alcoholic beverages and tubers.

Changes in the annual Inflation rate

From February 2009 to March 2009, the annual inflation rate reduced for food beverages and tobacco, furniture and house hold goods, recreation and education. However, there was an increase in clothing and footwear, rent and household energy, medical care, transport (air fares and cost of motor vehicles).

Effect of different items to overall inflation

Food products accounted for 6.8 percentage points in the Consumer Price Index (CPI), while non-food products accounted for 6.3 percentage points reaching 13.1 percent in March 2009.

Reduction in the annual food inflation rate

The annual food inflation rate reduced to 13.9 percent in March 2009 from 16.3 percent in February 2009. Items in the food inflation that contributed most to the decline were the cost of kapenta, fresh vegetables, tubers, cooking oil, dried beans, shelled ground nuts and alcoholic beverages. At the same time there were increases in the cost of other cereals and cereal products, table salt, coffee, meat, eggs, tea and other processed food products.

National average prices of some prominent products

Changes in retail prices between February 2009 and March 2009 were recorded. The national average price of a 25 kg bag of white breakfast meal increased by 5.9 percent, from K 53,576 to K 56,751, while the national average price of a 25 kg bag of white roller meal increased by 5.3 percent, from K 43,832 to K 46, 156. The national average price of a 20 liter tin of maize grain increased by 5.2 percent, from K 28,935 to K 30,441.

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