Official figures from Zimstats for the month on January 2019 show that the inflation rate has hit 56.90%. This is the highest reported inflation rate since dollarization in January 2019. The increase was from 42.09% in the previous period (December 2018).
The Increase was mainly pushed by Food and Non Alcoholic beverages index which stood at 63.71%, whilst the Non Food Inflation rate is 53.60%. Month on Month inflation increased by an average of 10.75% from December 2018 to January 2019. According to a statement from Zimstats “The month on Month on Month Food and Non Alcoholic inflation stood at 6.94%, shedding 2.13% points from the December 2018 figure of 9.07%”.
The economy continues to face inflationary pressures with these latest figures being the eighth consecutive month in which the inflation rate has been on an upward trend. It is the fourth straight month in which the inflation rate has recorded a Double Digit Inflation rate. Independent Estimates from the ZimBollar Research Institute (ZBRI) estimate the inflation rate at 192.15%, whilst Professor Steve Hanke’s latest reports estimates the figures at 257% Year on Year. Zimbabwe continues to face a deepening currency crisis which has seen the re-emergence of the foreign currency alternative market.