{"id":27041,"date":"2021-02-16T09:43:52","date_gmt":"2021-02-16T07:43:52","guid":{"rendered":"https:\/\/ijg.net\/research\/?p=27041"},"modified":"2021-02-16T09:43:53","modified_gmt":"2021-02-16T07:43:53","slug":"ncpi-january-2021","status":"publish","type":"post","link":"https:\/\/ijg.net\/research\/ncpi-january-2021\/","title":{"rendered":"NCPI \u2013 January 2021"},"content":{"rendered":"\n
\"\"<\/figure>\n\n\n\n

The Namibian annual inflation rate ticked up to 2.7% y\/y in January, following the 2.4% y\/y increase in prices recorded in December. Prices in the overall NCPI basket increased by 0.9% m\/m. On a year-on-year basis, overall prices in nine of the twelve basket categories rose at a quicker rate in January than in December, while the other three recorded slower rates of inflation. Prices for goods increased by 3.2% y\/y while prices for services increased by 2.0% y\/y. <\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Food & non-alcoholic beverages, the second largest\nbasket item in weighting, accounted for 0.9 percentage points of the total\ninflation figure. Food and non-alcoholic beverage prices increased by 5.2% y\/y,\nmoderating from the 7.6% y\/y recorded in December. Prices in twelve of the\nthirteen sub-categories recorded increases on an annual basis. The largest\nincreases were observed in the prices of fruits which increased by 13.6% y\/y\nand vegetables which increased by 12.4% y\/y. The fish sub-category meanwhile\nsaw a marginal price decrease of 0.3% y\/y in January. <\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Alcoholic beverages and tobacco prices, making up\napproximately 12.6% of the overall inflation basket, was the second highest\ncontributor to the annual inflation rate in January, with prices of the basket\nitem increasing by 0.8% m\/m and 5.0% y\/y. The main driver in this basket\ncategory was tobacco prices which increased by 10.3% y\/y while alcohol prices\nrose by 3.8% y\/y. <\/p>\n\n\n\n

The miscellaneous goods & services basket recorded\ninflation of 6.7% m\/m and 6.5% y\/y, and contributed 0.35 percentage points to\nthe overall annual inflation figure. The financial services sub-category recorded\na rather hefty price increase of 27.2% m\/m and 24.0% y\/y. The four other\nsubcategories (personal care, personal effects, insurance and other services)\nall recorded quicker inflation on a month-on-month basis but recorded slower\ninflation on a year-on-year basis.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Despite the\nsecond consecutive uptick, the Namibian annual inflation rate continues to\ntrend lower than that of neighbouring South Africa\u2019s inflation rate. According\nto the NSA, the prices for the rental payments for dwellings sub-category rose\nby only 0.6% y\/y in January. As rental payments make up a large portion (23.3%)\nof the CPI basket, the low inflationary adjustment means that Namibian annual\ninflation in 2021 is likely to remain well below Namibia\u2019s long-run average. IJG\u2019s\ninflation model forecasts an average inflation rate of 2.9% y\/y in 2021 and\n4.3% in 2022, indicating a steady increase in the inflation rate over the next\ntwo years. We remain of the view that the largest upside risk to this forecast\nis higher food costs and fuel prices.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

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

The Namibian annual inflation rate ticked up to 2.7% y\/y in January, following the 2.4% y\/y increase in prices recorded in December. Prices in the overall NCPI basket increased by 0.9% m\/m. On a year-on-year basis, overall prices in nine of the twelve basket categories rose at a quicker rate \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-27041","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\/27041","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=27041"}],"version-history":[{"count":1,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/posts\/27041\/revisions"}],"predecessor-version":[{"id":27047,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/posts\/27041\/revisions\/27047"}],"wp:attachment":[{"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/media?parent=27041"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/categories?post=27041"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/tags?post=27041"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}