THE cost of living continues to be on the upward trend, with the annual inflation rate increasing by 4.1% in June 2021, compared to 2.1 % recorded in June 2020.
On a monthly basis, the inflation rate increased by 0.5% compared to 0.3% recorded a month earlier.
The main contributors to the inflation rate for June 2021 were food and non-alcoholic beverages (1.3 percentage points); Transport (1.3 percentage points); Alcoholic beverages & tobacco (0.3 percentage points); Housing, Water, Electricity, Gas and Other fuels (0.3 percentage points); Furnishings, household equipment and routine maintenance of the house (0.3 percentage points); and Miscellaneous goods and services (0.3 percentage points).
Food and non-alcoholic beverages, together with transport, continue to be the major drivers of inflation during the month of June 2021, with each accounting for 32% of total change.
The Zonal inflation rates for the month of June 2021 revealed that Zone 1 (Kavango East, Kavango West, Kunene, Ohangwena, Omusati, Oshana, Oshikoto, Otjozondjupa, and Zambezi regions) recorded an annual inflation rate of 3.9%, Zone 2 (Khomas Region) recorded an annual inflation rate of 3.7%, while Zone 3, (Erongo, Hardap Omaheke and //Kharas regions) registered inflation rate of 4.9%.
On a monthly basis, Zone 1 recorded an inflation rate of 0.4%, Zone 2 recorded 0.5%, while Zone 3 recorded the highest inflation rate of 0.6%.
The average retail prices of selected products for the month of June 2021 revealed that consumers residing in Zone 3 paid more for beef at N$132.65 per kg, followed by Zone 2 with N$126.21 per kg, while consumers in Zone 2 paid more for chicken assorted pieces (1.5 kg) at N$72.12 followed by Zone 3 at N$70.96.