{"id":27300,"date":"2021-03-11T15:09:59","date_gmt":"2021-03-11T13:09:59","guid":{"rendered":"https:\/\/ijg.net\/research\/?p=27300"},"modified":"2021-03-11T15:10:01","modified_gmt":"2021-03-11T13:10:01","slug":"ncpi-february-2021","status":"publish","type":"post","link":"https:\/\/ijg.net\/research\/ncpi-february-2021\/","title":{"rendered":"NCPI \u2013 February 2021"},"content":{"rendered":"\n
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The Namibian annual inflation rate remained at 2.7% y\/y in February, with prices in the overall NCPI basket increasing by 0.4% m\/m. On a year-on-year basis, overall prices in six of the twelve basket categories rose at a quicker rate in February than in January and the other half of the basket categories recording slower rates of inflation. Prices for goods increased by 3.2% y\/y while prices for services rose 2.0% y\/y.<\/p>\n\n\n\n

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Food & non-alcoholic beverages, the second largest\nbasket item by weighting, continued to be the largest contributor to annual\ninflation, accounting for 1.0 percentage point of the total 2.7% inflation\nrate. Prices in this category increased by 1.2% m\/m and 5.5% y\/y. Prices in\ntwelve of the thirteen sub-categories recorded increases on an annual basis.\nThe largest increases were observed in the prices of fruits which increased by\n11.85% y\/y and meat which increased by 11.84% y\/y. The fish sub-category\nmeanwhile saw a marginal price decrease of 0.6% y\/y in February.<\/p>\n\n\n\n

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The alcoholic beverages and tobacco basket item was the\nsecond largest contributor to the annual inflation rate in February, with\nprices of the basket item increasing by 4.2% y\/y. On a monthly basis, prices in\nthis basket item fell by 0.4%. The alcoholic beverages sub-category recorded a\nprice decrease of 0.4% m\/m, but an increase of 3.0% y\/y. Tobacco prices were\ndown 0.2% m\/m, but up 9.7% y\/y.<\/p>\n\n\n\n

The housing and utilities category accounted for 0.39\npercentage points of the total annual inflation rate in February. Price\ninflation for this category remained steady on a monthly basis, but rose 1.5%\ny\/y. The regular maintenance and repair of dwellings subcategory recorded an\nincrease in prices of 3.1% y\/y, which is a lower rate of increase than the 4.2%\ny\/y registered the previous month. Prices in the electricity, gas and other\nfuels subcategory increased by 2.2% y\/y, while the annual inflation for rental\npayments rose to 1.3% y\/y. None of the four subcategories printed price\nincreases on a month-on-month basis. <\/p>\n\n\n\n

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In the US inflation\nexpectations have been heightened by the Fed\u2019s prolonged loose monetary policy\nand President Joe Biden\u2019s US$1.9 trillion stimulus package. These rising\ninflation expectations are putting pressure on central banks as they seek to\nensure a smooth recovery.<\/p>\n\n\n\n

On the local\nfront, however, IJG\u2019s inflation model forecasts an average inflation rate of\n3.2% y\/y in 2021 and 4.3% in 2022, indicating a gradual increase in the\ninflation rate over the next two years and that inflation will likely remain\nrelatively low over this period. This, coupled with high unemployment and\nstruggling economic growth in both Namibia and South Africa, means that we currently\nsee it as unlikely that interest rates will be raised in either country in the\nshort-term.<\/p>\n\n\n\n

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

The Namibian annual inflation rate remained at 2.7% y\/y in February, with prices in the overall NCPI basket increasing by 0.4% m\/m. On a year-on-year basis, overall prices in six of the twelve basket categories rose at a quicker rate in February than in January and the other half of \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-27300","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\/27300","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=27300"}],"version-history":[{"count":1,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/posts\/27300\/revisions"}],"predecessor-version":[{"id":27306,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/posts\/27300\/revisions\/27306"}],"wp:attachment":[{"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/media?parent=27300"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/categories?post=27300"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/tags?post=27300"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}