Food inflation remains stubborn

Tuesday, August 22, 2023 | 670 Views |

Higher and higher: The cost of living remains at elevated levels despite the drop in general inflation PIC: MORERI SEJAKGOMO

Food prices continue to buck the trend of declining broader inflation, with a Statistics Botswana index which tracks them, staying in the double digits for the month of July.

Annual inflation dropped to a 35-month low in July at 1.5 percent, from 4.6 percent in June, due mainly to the base effects of higher fuel prices in July last year and the June 20 reduction of pump prices this year.

However, annual food inflation was measured at 10.7% in July, down from 12.9% in June, indicating that prices remain elevated and their decline is far slower than other items measured by the Consumer Price Index.

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