Namibia’s annual inflation rate for the broader goods category was estimated at 6.4 % in February 2024 compared to 14% recorded in February 2023, with food items being a major contributor, latest data shows.
According to the Namibia Consumer Price Index (NCPI) report released by the Namibia Statistics Agency on Thursday, the rate was high despite a decline in prices.
According to the report, within the food category, bread and cereals, oils and fats, and meat experienced notable changes in prices.
Bread and cereals, which constitute a substantial portion of the consumer basket, saw a decline in prices compared to the previous year.
“Bread and cereals prices on average declined by 0.4% in February 2024, compared to a 22% increase witnessed during the same month of the previous year,” the report read.
“The decrease in the annual inflation rate for this subcategory was mainly observed in the price levels of maize, meal/grain from 35.9% to -8.3%; bread, cake flour from 26.4% to -2.6%; macaroni, spaghetti, and noodles from 19.9% to -2.1%; mealie rice/malt from 18.3% to 1.8% and bread from 19.1% to 5.4%.”
The report further states that the housing, water, electricity, gas, and other fuel components, accounting for 28.4% of the consumer basket, also contributed to inflation.
The annual inflation rate for this category increased to 3.5% during February 2024, compared to 2.9% observed in February 2023. While the annual inflation rate for transport stood at 6.5%, compared to 9.9% in February 2023.
“The increase in the annual price levels of this category was mainly reflected in the subgroups of ‘Electricity, gas and other fuels’ from 7.0% to 8.0% and ‘Water supply, sewerage and refuse collection’ from 2.5% to 3.4%,” the report read.
According to the Statistician General and Chief Executive Officer of NSA, the annual inflation rate for February 2024 stood at 5.8%.
Zone 2, comprising the Khomas region, recorded the highest annual inflation rate of 5.5%, followed closely by Zone 1 (Kavango East, Kavango West, Kunene, Ohangwena, Omusati, Oshana, Oshikoto, Otjozondjupa, and Zambezi regions) and Zone 3 (//Kharas, Erongo, Hardap, Omaheke regions), with inflation rates of 5.3% and 4%, respectively.
“Analysis of the average retail prices of selected products for the month of February 2024 revealed that consumers in Zone 2 paid the highest price for a pack of 6 eggs at N$22.49 followed by Zone 3 at N$21.65, while consumers in Zone 1 paid the least price of N$19.94. For stewing beef, consumers in Zone 1 paid the highest price of N$95.12 per kg, followed by Zone 3 at N$93.97 per kg, while Zone 2 paid the least price of N$90.35 per kg,” he said.
