Inflation in Zambia accelerated to an annual 9.8 percent in March as clothing, footwear and furniture costs rose, the Central Statistical Office said.
The inflation rate increased from 9.5 percent last month, Modesto Banda, assistant director at the agency, told reporters today in the capital, Lusaka.
Mr. Banda has also announced that Zambia recorded a trade surplus valued at K168.2 billion during the month of February.
He said the total value of the country’s exports in February 2008 was K1, 263.5 billion compared to K1, 386.8 billion in January 2008.
He said the prominent exports were manufactured goods accounting for 81.8 percent in February and 81.7 percent in January 2008 of which refined copper was the most significant export item accounting for 70.0 percent of Zambia’s total earnings.
Mr. Banda said other exports included cobalt, ores, slag, cereals and electrical machinery equipment parts which collectively accounted for 88.1 percent of Zambia’s total export earnings for the month of February 2008.
He said the major destinations of Zambia’s exports in February were Switzerland, China, South Africa, Democratic Republic of Congo, Korea, Oman and Saudi Arabia which collectively accounted for 76.5 percent of the country’s total export earnings.
He added that other destinations included Netherlands, Egypt, Thailand, United Kingdom and Belgium which collectively accounted for 13.6 percent and the rest accounted for 9.8 percent of Zambia’s total export earnings.
Mr. Banda however said the value of Zambia’s total imports in February 2008 was K1, 095.3 billion compared to K1, 429.0 billion in January 2008.
He said the most prominent imports were machinery and transport equipment which accounted for 45.4 and 42.8 percent in February and January 2008 respectively.
He said other imports were manufactured goods classified chiefly by material which collectively accounted for 39.3 and 41.7 percent in February and January 2008 respectively.
He noted that sources of Zambia’s imports were SADC Countries, Asian market, European Union and COMESA which accounted for 59.4, 19.5, 13.7 and 10.7 percent respectively in February 2008.
And Mr. Banda said according to the 2006 Living Conditions Monitoring Survey (LCMS) 56 percent of households in Zambia cannot afford three meals a day.
He said in the rural areas 33.7 percent of households could afford three meals, 66.3 percent could afford only two meals or less per day while 63. 4 percent of urban households could afford three meals or more per day.
He further said 57.5 percent of rural households have no access to safe water compared to 11.2 percent of their urban counterparts.
Mr. Banda said according to the LCMS 53.9 percent of urban households treat their drinking water whereas 20.5 percent of rural households treated their drinking water.
Meanwhile, Mr. Banda said 82 percent of persons employed are in the informal sector compared to 18 percent in the formal sector.
Mr. Banda said informal employment is higher in rural areas at 93 percent than in urban areas at 52 percent.
On housing Mr. Banda said the LCMS indicates that 75.4 percent of Zambians live in their own dwelling while 16.2 percent rent from private landlords and 3.4 percent occupied free housing.
He said the rural-urban analysis revealed that 90.9 percent of households in rural areas live in their own dwelling compared to their urban counterparts with 46.4 percent.
good performance
Lusaka Times must start attributing stories to sources e.g Post, Times of Zambia, Daily Mail, Reuters, Bloomberg. At the moment, you are just plagiarising stories. Nothing wrong with site just say sources of story. Its good journalism ethics. I am journalist I am just concerned that other people’s copy right is not being cited.
It is very interesting to see what happens when the figures alluded to are expressed in foreign currency. At the current kwacha rate, i would say this was a bad performance. Local exports are stiffled at the expense of cheaper imported goods. By the way do you you notice that the price of cement in S.A is much lower than K45 000.00.(in kwacha terms) Its infact much cheaper to import it now than ever. The Government is losing either way. Importers are gaining tremendously by reduced customs tax. Government is ultimately losing in tax returns on imported goods since they value them in Kwacha terms. local Products are much more expensive than imports. see the point.
Please attribute stories. The writers deserve it!!!!
Stories of inflation what..economic growth by what,high GDP etc.will never end in Zambia. While we appreciate this statistical-based economic growth,which is just on paper, we demand for reality on the ground(the Human Development Index by UNDP).To a layman such as the many suffering Zambian workers in all Chinese- owned mines and other firms, it is a mockery-of the worst kind.They can even clobber you the same manner they did to their Chinese Mine Manager in Chambeshi. And I say he deserved it. if Zambia is really recording such high export firgures,why has our Kwacha not improved much in strength? Countrymen, let us be realistic, and not just dance to the tune of the tune of the IMF& W/B.
Only 5 bloggers? The rest seem to be glued to moral issues like sex scandals and corruption. Zambians, we need to take more interest in economic issues because that’s what determines the stability of a nation.
DAMM INSALA PA NGANDA..
if at all we are making such progress please lets also be practical build a good road network that will boast our trade.. please how much is a US dollar to Zambia kwacha ? we should not be fooled that our economy is doing fine kwisa bufi bashetani
People have you never wondered why Jesus said that “you will always have the poor with you”… don’t think it is necessary to have the poor so that we are a stable society… i Zambia is fine like this ? who will be poor if we are not…
Sorry guys, this is a question for economists, probably not related to the above. Pleas help.
We all know that the world economy is tittering on recession, if major economies are hit, will Zambia be affected ? and if so why and how ? seeing that most of our income comes from copper whoes prices i think will be unaffected due to the unrelenting demand in the asias. If zambia is affected by world recession how long does it take for the effects to be felt in Zambia ?
Thanks for your time.
Am a Business Stratergist, and I don’t think it would be possible to have world reccession. Countries differ in terms of how much they trade and thier economies also run differently.
The only way Zambia may be affected by a recession of another country is whether they trade with that particular Country under a recession. For example, US economy may be going through a recession even though it has not been officially announced and if Zambia trades significantly with them, then they would be affected in some ways.
Zambia’s biggest trade partners may be China, South Africa, Britain?? That is my guess.I say create SOME JOBS IN THAT ECONOMY TO FLORISH!!And entreprenuers to think bigger!!!
# 11. Benjamin
Thanks for clearing some points.
This what we need as a comunity, a blog that shares and passes on knowlege for the betterment of all zambians.