{"id":26723,"date":"2021-01-14T16:20:18","date_gmt":"2021-01-14T14:20:18","guid":{"rendered":"https:\/\/ijg.net\/research\/?p=26723"},"modified":"2021-01-14T16:20:21","modified_gmt":"2021-01-14T14:20:21","slug":"ncpi-december-2020","status":"publish","type":"post","link":"https:\/\/ijg.net\/research\/ncpi-december-2020\/","title":{"rendered":"NCPI \u2013 December 2020"},"content":{"rendered":"\n
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The Namibian annual inflation rate increased marginally to 2.4% y\/y in December, following the 2.2% y\/y increase in prices recorded in November. Prices in the overall NCPI basket remained steady on a month-on-month basis, an indication of the subdued inflationary pressure currently being experienced. The annual average inflation rate for 2020 was 2.2%, compared to 3.7% in 2019 and 4.3% in 2018. On a year-on-year basis, overall prices in five of the twelve basket categories rose at a quicker rate in December than in November, with four categories recording slower rates of inflation and three categories recorded consistent with the prior month. Prices for goods increased by 3.5% y\/y while prices for services increased by 0.9% y\/y.<\/p>\n\n\n\n

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As it has been the case for the majority of the year, the\nfood & non-alcoholic beverages category was the largest contributor to\nannual inflation in December, accounting for 1.3 percentage points of the total\n2.4% annual inflation rate. Price inflation for this category came in at 0.1%\nm\/m and 7.6% y\/y, the highest annual figure since February 2017. Prices in all\nthirteen sub-categories recorded increases on an annual basis with the largest being\nobserved in the prices of fruits which increased by 17.7% y\/y and oils and fats\nwhich increased by 12.2% y\/y.<\/p>\n\n\n\n

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The alcoholic beverages and tobacco basket item, the\nthird-largest basket item by weighting, was the second-largest contributor to\nthe annual inflation rate in December. The category displayed a price decrease\nof 0.4% m\/m, but an increase of 4.3% y\/y. Prices for alcoholic beverages decreased\nat a rate of 0.5% m\/m, but rose 3.2% y\/y, while tobacco prices fell by 0.2%\nm\/m, but increased 9.3% y\/y.<\/p>\n\n\n\n

The education basket recorded inflation of 7.0% y\/y, with\nthe cost of pre-primary education growing at a rate of 5.6% y\/y, while the\nprimary and secondary education recorded price increases of 9.3% y\/y. Tertiary\neducation prices rose by 5.3% y\/y. All three subcategories printed no price\nincreases on a month-on-month basis.<\/p>\n\n\n\n

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The Namibian\nannual inflation rate trended lower than that of neighbouring South Africa\u2019s during\nthe entire year. Inflationary pressure in Namibia has been particularly low\nsince the outbreak of Covid-19 due to a lack of demand for both goods and\nservices. The almost persistent inclusion of the education basket item, which\nhas the 8th<\/sup> highest weighting, in the top contributors to inflation\nin 2020 is an indication of how subdued the inflationary pressure is. IJG\u2019s\ninflation model forecasts an average inflation rate of 3.2% y\/y in 2021 and\n4.5% in 2022, thus indicating a steady increase in the inflation rate over the\nnext two years. The largest upside risk to this forecast is higher food costs\nand fuel prices.<\/p>\n\n\n\n

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<\/p>\n","protected":false},"excerpt":{"rendered":"

The Namibian annual inflation rate increased marginally to 2.4% y\/y in December, following the 2.2% y\/y increase in prices recorded in November. Prices in the overall NCPI basket remained steady on a month-on-month basis, an indication of the subdued inflationary pressure currently being experienced. The annual average inflation rate for \u2026 Continue reading → <\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6,19],"tags":[],"class_list":["post-26723","post","type-post","status-publish","format-standard","hentry","category-economicresearch","category-inflation"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/posts\/26723","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/comments?post=26723"}],"version-history":[{"count":1,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/posts\/26723\/revisions"}],"predecessor-version":[{"id":26729,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/posts\/26723\/revisions\/26729"}],"wp:attachment":[{"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/media?parent=26723"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/categories?post=26723"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/tags?post=26723"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}