Inflation Rate Drops

| June 17, 2015

Statistics Botswana has released Consumer Price Index (CPI) figures for May 2015 with inflation rate standing at 3.0 per cent, indicating a significant drop compared to 4.5 per cent recorded in May 2014.

Statistics Botswana acting principal statistician, national accounts and prices, Mr Phaladi Labobedi, told a press conference recently that the national inflation rate for May 2015 stood at 3.0 per cent, stating that it had dropped by 0.1 per cent compared to that of April 2015.

Mr Labobedi said the continued drop in the inflation rate was mainly because of the slow movement of prices realised in the main component of transport, which dropped by 5.6 percentage points.

He indicated that decreases in fuel prices that occurred in February 2015 had an impact on the CPI basket, which contributed to suppress the overall inflation rate.

He also indicated that in May 2015, the domestic tradable inflation rate was 3.2 percent as opposed to 5.1 percent recorded last year, while the imported tradable inflation rate was 0.8 percent compared to 0.5 percent in 2014.

Mr Labobedi highlighted that the decrease in fuel prices, has contributed to low rate of imported tradable inflation. When presenting analysed inflation by region, he said the inflation rates for urban and rural villages were 2.8 percent and 3.6 percent in May 2015 compared to 4.6 percent and 5.2 percent respectively realized in the same month in 2014.

The annualised inflation rate for cities and towns recorded 3.0 percent in May 2015 as opposed 4.2 percent in May 2015. For her part, presenting recent statistical releases, communication documentation and dissemination manager at Statistics Botswana Ms Lilian Setimela said the organisation introduced two new reports in 2014 being the Electricity Generation and Distribution Report and the indices of the Physical Volume of Mining Production Report.

“Electricity generation and distribution report intends to measure changes in production and distribution of electricity over time,” she said. She stated that the data that goes into the reports is sourced from the Botswana Power Corporation.

Ms Setimela said comparing 2013 and 2014, there has generally been a decrease in the production of electricity.

Ms Setimela said the Physical Volume of Mining Production Report intends to measure changes in mining production over time, which includes minerals such as diamonds, gold, soda ash, silver, copper nickel and coal. She said the data for the report is sourced from the Department of Mines.

The other new report that has been introduced this year is the first ever edition of the Botswana Environment, Water and Climate Digest, which will be produced on a quarterly basis.

“The purpose of the digest is to provide data for use by decision makers and water management as well as for monitoring trends related to climate,” she said.

She said the indicators in the report cover data on dam level, water production, rainfall and temperature, which will be expanded overtime as new data comes in.

Source : BOPA

Source : Botswana Daily News

Category: Business & Finance

Comments are closed.