Photo Bruno-kelzer/Unsplash
Photo Bruno-kelzer/Unsplash

Prices in northern regions rising at a fast pace

Overall inflation increase to 6% in October
The Bank of Namibia (BoN) projects inflation to average 5.9% in 2023.
Phillepus Uusiku
Prices of goods and services in the northern regions are increasing at a fast pace when compared to other regions, according to data provided by the Namibia Statistics Agency (NSA).

Zone 1 (Kavango East, Kavango West, Kunene, Ohangwena, Omusati, Oshana, Oshikoto, Otjozondjupa, and Zambezi regions) recorded the highest annual inflation rate of 6.6% in October

Zone 2 (Khomas region) followed in second position with an annual inflation rate of 5.7%, while Zone 3 (//Kharas, Erongo, Hardap, Omaheke regions) recorded the least annual inflation rate estimated at 5.6% during the period under review.

Year to date, inflation in Zone 1 averaged 6.3%. In addition, between January and October, inflation in Zone 2 and Zone 3 averaged 5.7% and 5.8%, respectively.

“Analysis of the average retail prices of selected products for the month of October 2023 revealed that consumers in Zone 1 paid the highest price for fillet steak per kg at N$249.97, followed by Zone 2 at N$240.63, while consumers in Zone 3 paid the least price of N$238.26. For chicken, frozen assorted pieces per 1.5 kg consumers in Zone 3 paid the highest of N$96.04, followed by Zone 2 at N$84.79, while in Zone 1 paid the least price of N$80.49,” NSA said.

Overall

Meanwhile, overall annual inflation rate stood at 6% in October, compared to 7.1% recorded in October 2022. In September, inflation came in at 5.4%. Year to date, inflation averaged 6%.

The major contributors to the annual inflation rate of 6% in October 2023 were food and non-alcoholic beverages (1.8 percentage points), alcoholic beverages and tobacco and transport each contributed (1.0 percentage points); and Housing, water, electricity, gas, and other fuels (0.8 percentage points).

The food sub-category accounts for 14.8% of the consumer basket in the Namibia Consumer Price Index (NCPI).

Within the food subcomponent, bread, and cereals account for the highest weight of food items that consumers purchase, having a weight of (4.8%) followed by meat (3.5%); sugar, jam, honey, syrups, chocolate, and confectionery (1.4%), vegetables and Milk, cheese, and eggs (1.2%) each.

The Bank of Namibia (BoN) projects inflation to average 5.9% in 2023. [email protected]

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Namibian Sun 2024-11-24

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