Inflation Up 9.8 Percent

Headline inflation inched upwards by 0.9 percentage points to 9.8 percent in October, latest figures from the National Statistical Office (NSO) have shown.

This means that inflation rose by 10 percent month-on-month from 8.9 percent in September and 30.6 percent year-on-year when compared to the 7.5 percent recorded in October last year.

The NSO figures further show that, year-on-year food and nonfood inflation stood at 11.8 percent and 7.8 percent, respectively.

“In the non-food category, the three categories with the highest year-on-year inflation for October 2021 are transportation, furnishing and household and housing, water and electricity at 12 percent, 8.9 percent and 8.7 percent, respectively,” the statement reads.

Centre for Social Concern Programmes Coordinator Bernard Mphepo indicated that the development should be cause for concern for poor Malawians as the cost of living will shoot up.

“The cost of living is currently at K207, 000 and, when we compare with the minimum wage of K50, 000, there is that big gap which should be covered because it robs citizens of their purchasing power,” he said.

Economics Association of Malawi (Ecama) Executive Director Frank Chikuta believes the double digit projection may be seen in November when price increases in utilities, especially water and house rentals, have been factored into inflation.

The country has seen rising prices of commodities such as fertiliser, fuel, water, maize and house rentals.

SOURCE: THE TIMES GROUP