Posted on September, 11, 2017 at 09:04 am
THE inflation rate for last month has decreased to 5.0 per cent from 5.2 per cent recorded in July, the National Bureau of Statistics (NBS) announced in Dar es Salaam, yesterday.
This decrease in headline inflation explains that the speed of price change for commodities in the year ending August 2017 has further decreased compared to the speed of price change recorded in July 2017.
According to NBS, the overall index went up to 108.46 in August 2017 from 103.28 recorded in August 2016. Food and non-alcoholic beverages inflation rate for the month of August 2017 has decreased to 8.6 per cent from 8.9 recorded in July 2017.
NBS Population Census and Social Statistics Director, Mr Ephraim Kwesigabo, said annual inflation rate for food consumed at home and away from home has decreased to 9.1 per cent in August 2017 from 9.3 recorded the previous month.
He said the 12-month index change for non-food prod ucts has stagnated at 3.1 per cent in August 2017 as recorded in July 2017. “Annual inflation rate which excludes food and energy for the month of August 2017 has decreased to 1.8 per cent from 2.2 per cent recorded in July 2017,” he noted Mr Kwesigabo said the National Consumer Price Indices (NCPI) used to compute this type of inflation rate excludes food consumed at home and restaurants, non-alcoholic beverages, petrol, diesel, gas, kerosene, charcoal, firewood and electricity.
Excluding food and energy, which are the most volatile components in the total NCPI, could provide a more stable inflation rate figure for policy makers. Expounding further, he said the monthly headline inflation rate for the month of August 2017 has decreased by 0.4 per cent compared to a decrease of 0.2 per cent recorded in July 2017.
The overall index has decreased to 108.46 in August 2017 from 108.85 recorded in July 2017. Some food items that contributed to such decrease include rice by 1.2 per cent, maize grains 1.2 per cent, maize flour 1.6 per cent, dried sardines 3.4 per cent, vegetables 1.2 per cent, beans 3.2 per cent, potatoes 3.5 per cent and cooking bananas 2.4 per cent.
The Director also said purchasing power of 100 Tanzania shillings has reached 92/- and 20 cents in August 2017 compared to 91/- and 87 cents recorded in July 2017.
He said the purchasing power of consumers Tanzanian shilling measures the change in the value of consumer goods and services that a Tanzanian shilling could buy at different periods, which is if the overall level of consumer price index goes up, the purchasing power of Tanzanian shilling goes down.
Source: Daily News