Food Inflation Nears Two Decade High

June saw the country’s inflation accelerate to a near 19-year high as the cost of meat and fish pushed up food prices.

Consumer prices have risen by 24.6% over the last year, according to the interim statistician-general, Mulenga Musepa. Annual food inflation specifically rose to a record of 31.2% in June compared to 28.5% just one month before, an increase of almost 5% in only four weeks.

As the kwacha continues to lose value, losing more than 19% against the dollar in the last 12 months, inflation has worsened.

Govenor Christopher Mvunga said last month that the monetary policy committee may tighten its stance further if the rate, which is already far higher than the 6-8% target, continues to increase.

Not only are the cost of goods increasing, a lack of jobs within the country means that ever rising prices are not matched by rising salaries or access to jobs to enable Zambians to afford to put food on the table each day, with many going hungry as a result. This failing by the Patriotic Front (PF) government follows their failed promise to put “more money in your pockets” which is now harder than ever to do given the current dire economic state which they have put the country in.

Photo: Bloomberg