Monthly inflation for east, south and western parts decreased in September

The month-to-month inflation for the eastern, southern and western parts of the country decreased by 0.17 per cent in September 2019, the latest Zonal Consumer Price Index (ZCPI) released by the Namibia Statistics Agency (NSA) on Tuesday shows.

Windhoek and the northern parts of the country recorded increases in the month-to-month inflation for September 2019.

The northern regions stood at 0,3 per cent in September 2019 compared to 0,1 per cent in August 2019, while Windhoek stood at last month 0,5 per cent from 0,02 per cent the previous month.

The ZCPI is a compilation of all administrative regions of the country grouped into three zones, with each zone considered as one geographic area.

Meanwhile, annual inflation in the Namibia Consumer Price Index (NCPI) slowed to 4,8 per cent in September 2019 from 0,1 per cent in September 2018.

The decrease was as a result of a slowdown in transport, alcoholic beverages and tobacco, health, water, electricity, gas and other fuels, hotels, cafes and restaurants.

The main drivers for inflation during the month of September 2019 were education, 12 per cent; food and non-alcoholic beverages, 4,4 per cent; recreation and culture with four per cent; alcoholic beverages and tobacco with 3,3 per cent; and health with 3,2 per cent.

The calculation of inflation is based on a basket of goods and services, which contains a representative sample of the goods and services commonly consumed in a country. These are weighted in accordance with the relative percentage of expenditure selected for each of the said goods at household level. The price of these goods and services are then tracked over time to illustrate the change in the cost of living over time.

Namibia's inflation is largely determined by three categories of the overall NCPI basket - housing, water, electricity, gas and other fuels; food and non-alcoholic beverages; as well as transport, which cumulatively make up just under 60 per cent of the total inflation basket.

Source: Namibia Press Agency