The Consumer Unity Trust (CUTS) says despite the reduction in the inflation rate the reduction is marginal compared to the increase in inflation rate the country has witnessed in the recent past.
Society Executive Director Chenai Mukumba says the organization has observed that since the beginning of the year consumers have been burdened by the increase in cost of living that has left particularly low-income consumers more vulnerable.
“While CUTS welcomes the decrease in the country’s inflation rate for the first time this year, this drop remains marginal compared to the increased in inflation we have seen over the past few months. Since the beginning of the year consumers have been burdened by the increase in cost of living that has left particularly low-income consumers more vulnerable,” Ms Mukumba said.
However, Ms Mukumba said earlier this year, the Bank of Zambia ( BOZ) noted that the country would see a decrease in inflation due to the country’s expected increase in agricultural output which has contributed to the drop in inflation to 15.9 percent.
She further noted that it is imperative that the Government of Zambia through the Central Bank and the Ministry of Finance continues to put in place measures to cushion and support particularly low-income consumers.
“In spite of this, it is imperative that the Government of Zambia through the Central Bank and the Ministry of Finance continues to put in place measures to cushion and support particularly low-income consumers,” she noted.
The impact of the Covid-19 pandemic remains largely unknown however over the past few months due to business closures and slowdown in economic growth we have seen a significant number of people lost their jobs and sources of livelihoods. It is these individuals who ought to be at the forefront of the government’s response measures as the country tries to navigate through this period.