September Inflation Rises To 15.6% As Quarter 2 GDP Growth Declines By 3.6%
Annual rate of inflation for September 2024 has increased to 15.6 percent from 15.5 percent recorded in August, 2024.
Speaking during the monthly dissemination bulletin, Zambia Statistics Agency (ZamStats) Statistician General, Goodson Sinyenga says this means that on average, prices of goods rose by 15.6 percent between September 2023, and September, 2024.
Mr. Sinyenga attributed the increase in inflation figures movements in prices of food items.
He revealed that annual food inflation rose to 17.9 % in September 2024, compared to 17.6% in August, owing to movements in prices of bread, roller and breakfast mealie meal, meat, vegetables, local and imported rice, fritters, as well as cooking oil.
Mr. Sinyenga added that annual non-food inflation declined to 12.4 percent, from 12.5 percent in August 2024.
“This outturn was mainly attributed to price movements in prices of non-food items such as Clothing materials, small electric household appliances such as Heater 2 bar, Electric Iron, Electric Kettle, Fan, 2 Hotplate cooker.”
“The Consumer Price Index for the Food and Non-alcoholic beverages increased by 17.9 percent between September 2023 and September 2024. This was higher than 13.4 percent recorded in the same month of 2023 and 17.6 percent recorded in August 2024,” Mr. Sinyenga noted.
He further disclosed that Central province recorded the highest annual inflation rate at 21 percent, whereas Northern province recorded the lowest rate at 12.2 percent.
Meanwhile, Mr. Sinyenga revealed that Zambia’s Gross Domestic Product (GDP) grew by 1.7 percent in Quarter 2 of 2024 compared to 5.3 percent in the same period last year, representing 3.6 percent decline in economic growth.
He said Information & communication contributed 1.2% to the Quarter 2 GDP growth, Construction 0.8%, Accommodation and food service 0.8%, Financial and insurance activities 0.6%, Public administration and defense 0.5% and Accommodation and food service activities 0.2%.
“On the other hand, Agriculture, Forestry and Fishing -0.6%, along with Mining and quarrying – 0.4% and Wholesale and retail trade -0.4% had negative impacts on GDP growth,” he noted.
He further revealed that the GDP by Expenditure categories was estimated at K557,406 million in 2023 compared to K494,148 million in 2022.
“Final Consumption Expenditure accounted for the highest share at 60.4 percent in 2023. This represents an increase of 10.4 percentage points from 50.0 percent recorded in 2022.
“The GDP by income components shows that operating surplus has continued to carry the largest proportion of income, accounting for 40.4 percent and 40.9 percent in 2023 and 2022, respectively. The share of compensation of employees from all incomes has shown a slight increase posting 18.2 percent in 2022 and 20.0 percent in 2023,” Mr. Sinyenga said.
