The transport sector which accounts for 14.3% of the inflation basket in Namibia of goods and services increased by 7.5% compared to -0.1% recorded in April 2020.
The increase in prices for the transport category was mainly reflected in the price levels of purchase of vehicles (11.6%) and operation of personal transport equipment (8.1%). Transport monthly inflation rate rose by 1.2% in April 2021 compared to 2% recorded in March 2021.
According to the Namibia Statistics Agency’s (NSA) recently released Namibia Consumer Price Index (NCPI), the annual inflation rate for April increased by 3.9% compared to 1.6% recorded in April 2020. Monthly, the inflation rate rose by 0.4% compared to 0.5% recorded a month earlier.
The main contributors to the 3.9% annual inflation rate were food and non-alcoholic beverages (1.1 percentage point) and transport (one percentage point). Food and non-alcoholic beverages which account for 16.5% of the basket increased by 5.9% year on year.
The report further stated the zonal inflation rates for the month under review, zone one (Kavango East, Kavango West, Kunene, Ohangwena, Omusati, Oshana, Oshikoto, Otjozondjupa, and the Zambezi) and zone two (Khomas) both recorded annual inflation rates of 3.7%, while zone three, (Erongo, Hardap, Omaheke and //Kharas) registered inflation rate of 4.4%.
Monthly, zone one recorded inflation rate stood at 0.4%, zone two at 0.3%, and zone three at 0.5%.
The analysis of the average retail prices for some of the basic products consumed by the households for April 2021 indicated that consumers in zone one paid the highest price of N$45.69 for white cake flour (2.5 kg) while consumers in zone two paid the lowest price at N$39.99. For diesel per litre, consumers in zone three paid the lowest price at N$13.58 while the highest price was paid in zone one at N$13.69.
The NCPI is designed to cover the entire economic territory of the country and includes national, urban, and rural households of all income groups as derived from the Namibia Household Income and Expenditure Survey (NHIES).
For the compilation of the national CPI, all administrative regions of the country were grouped into three zones, with each zone considered as one geographic area.