The World Bank has projected Zambia’s economic growth to fall below 4 percent in 2016 as a result of domestic and international pressures.
Speaking during a media breakfast in Lusaka today, new World Bank country Manager Ina-Marlene Ruthewburg said that Zambia’s economy has come under significant strain as a result of both external factors and domestic pressures.
She has however, expressed confidence that the country’s economy will rebound in the medium term of 2016.
Ms. Ruthewburg said the World Bank has continued to implement a number of investment projects and is currently implementing 15 big investments projects in the country at a total value of commitment of USD $860million.
She said the global bank will continue supporting the Zambian government by financing public sector investments.
Meanwhile the annual rate of inflation for November 2015 has soared to 19.5%, an increase of 5.2 percentage points from the October inflation of 14.3 percent.
Government’s end year inflation target was 6.5 percent.
Central Statistical Office Acting Director of Census and Statistics Goodson Sinyenga told a media briefing in Lusaka this morning that this means that on average, prices increased by 19.5 percent between November 2014 and November 2015.
Mr. Sinyenga explained that the increase in the annual rate of inflation is attributed to both food and non-food items with the annual food inflation rate recorded at 23.4 percent compared to 16.2 percent recorded in October, 2015.
He said the annual non food inflation rate for November 2015 increased to 15.5 percent from 12.4 percent recorded in October 2015 indicating an increase of 3.1 percentage points.
Mr. Sinyenga said Lusaka Province had the highest provincial contribution of 5.4 percentage points to the overall annual inflation rate for November, implying that price movements in Lusaka had the greatest influence to the overall annual rate of inflation seconded by Copperbelt contributing about 3.8 percentage points.
He said that a comparison of retail prices between October and November 2015 shows that the national average price of a 25kg bag of breakfast mealie meal increased by 10.7 percent from K71.92 to K79.63.
And Mr. Sinyenga says Zambia recorded a trade deficit in October 2015 valued at K2. 5million representing a 22.4% increase from K2.1 million recorded in September 2015.
He said this means that the country imported more in October 2015 than it exported in nominal terms.
Mr. Sinyenga said Zambia’s major export products in October 2015 were from the intermediate category mainly comprising of Copper cathodes and sections of refined copper accounting for 75.8 percent.
A trader at Serenje Market “lures” customers to buy his watermelons. LusakaTimes also, “lures” INDEED …. Why not just use simple english? A trader at Serenje Market selling or trying to sell his watermelons.
Zambians are struggling to sell off their produce whilst Shoprite can sell watermelons from RSA, Zambians have to “lure” customers in their own country. This nonsense has to stop. We have to promote and buy our own products.
UKO!
President missed an opportunity to talk about inflation and high cost of living for the suffering Zambians. So what is development if it does not improve people’s living conditions? This is a real disaster to lose purchasing power; when you spend K800, it means you should have spent only K400 and you are losing K400. What a great loss!
More like avoiding talking about inflation and the high cost of living. It was deliberate.
When RB and team were fighting to keep inflation low we were constantly told by some that ‘you cant eat inflation’, how ironic! Now Zambians will know why RB wept.
The didn’t know what the word inflation meant. Now they have learnt the word whilst they are on-the-job (government) and see how it affects people.