Bank of Mozambique maintains benchmark rate at 27.75 percent
Cumulative inflation in Mozambique reached 21.07 percent in November and monthly inflation rose 2.89 percent, according to the latest Consumer Price Index (CPI) of the Mozambican National Institute of Statistics (INE).
The sector of food and non-alcoholic beverages had a greater influence on the cumulative inflation rate recorded from January to November, with a 13.51 percent rise, reports the CPI.
Increases in the prices of rice, maize flour, cooking oil, peanuts, electricity and sugar contributed 8.78 percent to the price hike that occurred between January and November of the current year, explains INE .
The three main Mozambican cities, used as reference to calculate prices in the country, recorded an inflation worsening over the last 11 months. The city of Beira, in the centre of the country, recorded the highest inflation rate, with 21.39 percent, followed by Maputo, 21.08 percent, and Nampula, with 20.90 percent.
The inflation recorded in Mozambique this year is the highest in recent years, projected to stand at 27 percent by the end of 2016, according to the Central Bank’s estimate, in a downward revision of the previous 30 percent forecast.
Mozambican authorities have pointed to the rallying of prices, coupled with metical devaluation, as one of the reasons for the decline of the economy, which will end the year with a growth below 4 percent, the lowest rate of the last 15 years.