LUSAKA, Sep 24 – Zambia’s annual inflation rate eased to 6.1% in September, down from 6.2% in August, creating additional room for the central bank to consider a fourth consecutive interest-rate cut.
Consumer prices increased 0.4% month-on-month in September, according to Statistician-General Sheila Mudenda, who disclosed the latest figures to reporters in Lusaka on Thursday.
The moderation in annual inflation marks a further easing in price pressures and comes as the Bank of Zambia continues to assess the scope for monetary policy easing.
The latest inflation reading provides a more supportive backdrop for another reduction in borrowing costs, although the central bank’s decision will also depend on its assessment of inflation risks, economic activity and broader financial conditions.
