Negative inflation in July

Login

Register

http://www.clubofmozambique.com/

Negative inflation in July

8:10 CAT | 10 Aug 2017

The latest figures from the National Statistics Institute (INE) show that inflation rate in Mozambique in July, as measured by the Consumer Price Indices for the three largest cities (Maputo, Nampula and Beira), was negative 0.50 per cent.

According INE, annual inflation stood at 3.31 per cent and at 16.17 per cent year-on-year.

Data collected in the cities of Maputo, Beira and Nampula in July indicate that overall prices fell -0.50 per cent compared to the previous month. The division of food and non-alcoholic beverages registered the largest fall, contributing with negative 0.59 percentage points (pp).

Figures for monthly inflation by product show a drop in the price of tomatoes (13.4 per cent), peanuts (9.9 per cent), second-hand cars (2.8 per cent), fish (1.8 per cent), cooking gas (14.2 per cent), cooking oil (2.7 per cent) and lettuce (11.0 per cent). These products contributed to the total monthly inflation with negative 0.53 pp.

From January to July inflation rose to stand at 3.31 per cent. The division of restaurants, hotels and cafes largely contributed for this trend, with 0.79pp positive.

Disaggregating annual inflation by product it is possible to see an increase of the prices of gasoline, wheat bread, charcoal, meals in restaurants, beer, higher education and public transport, which contributed with positive 2.87pp for the total annual inflation.

As for year-on-year inflation, INE says that there was an overall price increase of 16.17 per cent with clothing and footwear being the worst with 22.88 per cent.

Meanwhile, price fell in the three largest cities used to compile the Consumer Price Index compared to the previous month. Thus, the cities of Maputo and Beira had above-average falls, with 0.60 per cent and 0.54 per cent, respectively, while Nampula shows a more moderate fall (0.25 per cent).

From January to July, Maputo registered the highest inflation, 4.30 per cent, followed by Nampula, 2.90 per cent, and Beira, 1.13 per cent.

Year-on-year, Nampula, Maputo and Beira show a general price increase of 17.14 per cent, 16.52 per cent and 13.77 per cent, respectively.

Source: AIM