Inflation rate soared 0.2 percentage points from 33.7 percent July to 33.9 percent in August according to latest Consumer Price Index (CPI) by the National Statistical Office (NSO).
Food prices remain the main driver of the skyrocketing rate according to the CPI which recorded food inflation at 42 percent from 41.9 percent in July while non-food inflation stands at 22.7 percent.
Both the Reserve Bank of Malawi (RBM) and the World Bank projected inflation pressure to remain elevated this year due to many factors including El-nino induced agricultural production drop which is exerting pressure on food prices.
RBM spokesperson Mark Lungu is on record having said that monetary policy alone cannot solve the current inflation challenges, adding that they are a combination of many factors.
Said Lungu: “This is the reason there is need for collaborative efforts from all key players to ensure we insulate the economy from these shocks.”
