Tanzania Inflation Rate Lowest Since 2015

Consumer prices in Tanzania increased 4.0 percent year-on-year in December of 2017, easing from a 4.4 percent in the previous month. It was the lowest infation rate since January of 2015, mostly due to food and non-alcoholic beverages.

Year-on-year, prices advanced at a softer pace for food and non-alcoholic beverages (6.2 percent compared to 7.4 percent in November); transport (a flat reading compared to 0.1 percent) and clothing and footwear (2.9 percent compared to 3.1 percent). Also, cost rose at a slower pace for: furniture and household equipment (1.3 percent compared to 1.8 percent); miscellaneous goods and services (2.5 percent compared to 2.6 percent) and recreation and culture (0.9 percent compared to 1.6 percent).

Meantime, prices went up at a faster pace for housing and utilities (8.3 percent compared to 7.8 percent) and alcoholic beverages and tobacco (2.6 percent compared to 2.5 percent). In addition, inflation was steady for: communication (-1 percent, the same as in November); restaurants and hotels (0.3 percent); health (2.0 percent) and education (0.8 percent).

On a monthly basis, consumer prices increased 0.2 percent, slowing from a 0.5 percent gain in the prior month. Prices of food and non-alcoholic beverages rose 0.2 percent, following a 0.8 percent in November, mainly due to maize flour (1.3 percent), beans (1.6 percent) and round potatoes (4.1 percent). Also, non-food items contributed to the rise, including boy’s shirts (1.4 percent), women’s trousers (1.1 percent), kerosene (0.4 percent), diesel (2.0 percent) and petrol (1.9 percent).

Annual core inflation, which excludes food and energy, went up 1.3 percent after a 1.4 percent increase in November. 

Tanzania Inflation Rate Lowest Since 2015

National Bureau of Statistics | Stefanie Moya | stefanie.moya@tradingeconomics.com
1/8/2018 11:46:20 AM