Inflation Slows in March

Maputo – The pace of inflation slowed in Mozambique in March, judging from the consumer price indices for the three largest cities (Maputo, Nampula and Beira), published by the National Statistics Institute (INE).

Inflation for the month was 1.33 per cent, considerably lower than the inflation of 2.24 per cent in February, or of 2.65 per cent in January.

As usual, the monthly inflation was due overwhelmingly to rises in food prices. The basic foods which rose sharply in price were cassava flour (by 48.2 per cent), maize flour (14.1 per cent), rice (4.2 per cent), cowpeas (26.1 per cent), butter beans (6.8 per cent), groundnuts (5.8 per cent), and brown sugar (7.3 per cent).

There were slight declines in price for tomatoes, live chickens, fish (fresh, frozen and dried), as well as for second hand vehicles.

Taken together, the price of these items declined by 0.87 per cent.

Inflation for the first three months of the year was 6.34 per cent. Most of this rise (5.29 per cent) was accounted for by foodstuffs.

Inflation over the past year (April 2015 to March 2016) was 13.61 per cent.

Of the three cities, Nampula saw the sharpest price rises with an inflation rate of 3.78 per cent in March. Prices in Beira rose over the month by 1.45 per cent, while Maputo enjoyed the lowest inflation, of 0.31 per cent.

Source: All Africa