{"id":29324,"date":"2021-09-16T08:15:07","date_gmt":"2021-09-16T06:15:07","guid":{"rendered":"https:\/\/ijg.net\/research\/?p=29324"},"modified":"2021-09-16T08:15:09","modified_gmt":"2021-09-16T06:15:09","slug":"ncpi-august-2021","status":"publish","type":"post","link":"https:\/\/ijg.net\/research\/ncpi-august-2021\/","title":{"rendered":"NCPI August 2021"},"content":{"rendered":"\n
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Namibian inflation slowed to 3.4% y\/y in August on the back of a 4.0% y\/y increase in prices in July. Accordingly, prices in the overall NCPI basket decreased by 0.2% m\/m. On an annual basis, overall prices of five of the twelve categories rose at a quicker rate in August than July, while five categories experienced slower rates of inflation and two categories posted steady inflation. Tellingly, inflation in the food and non-alcoholic beverages category, which has the second largest weighting in the NCPI, slowed from 6.1% y\/y in July to 5.2% y\/y in August. Prices for goods increased by 4.8% y\/y while prices for services increased by 1.7% y\/y in August. <\/p>\n\n\n\n

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Predictably, food and non-alcoholic beverages, alongside\ntransport, accounted for most of the 3.5% y\/y increase in the NCPI in August.\nFood and non-alcoholic beverages contributed 1.0 percentage points while\ntransport contributed 0.9 percentage points to the annual inflation figure. Prices\nin these categories are highly correlated, with increases in one category often\npredicting increases in the other. Prices for transport, the third largest\nbasket item in weighting, decreased by 1.6% m\/m in August. This is the largest\nmonth-on-month decrease of all categories in the NCPI. The NSA data, somewhat\nbizarrely, shows that the prices for public transportation services fell by\n9.9% m\/m and 8.7% y\/y. No explanation was given for this decline.<\/p>\n\n\n\n

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Housing, water and electricity contributed 0.4 percentage\npoints to the annual inflation figure in August, recording an increase of 0.1%\nm\/m and 1.6% y\/y. The regular maintenance and repair of dwelling was the only\nsub-category which recorded a slower rate of increase at 8.3% y\/y. The\nelectricity, gas and other fuels and water supply, sewerage service and refuse\ncollection sub-categories posted quicker inflation of 2.8% y\/y and 1.4% y\/y,\nrespectively. Alcohol and tobacco products round off the top five biggest\ncontributors to inflation this month alongside miscellaneous goods.       <\/p>\n\n\n\n

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The 3.4% y\/y inflation\nrate is exactly in line with IJG\u2019s inflation forecast for the year. Risks\nremain to the upside, with the Delta variant threatening to slow economic\ngrowth in much of the world, coupled with microchip shortages threating the global\nsupply of tech products and new vehicles as well as escalating shipping costs.\nHowever, significant price shocks are unlikely to materialise in short term given\nthat businesses are unlikely to raise prices as consumer confidence and\ndisposable income both remain low. IJG\u2019s inflation model currently forecasts an\naverage inflation of 3.4% y\/y in 2021 and 3.0% y\/y in 2022. Economic growth is\nlikely to remain slow in the coming years and inflation is likely to remain\nmuted.<\/p>\n\n\n\n

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Namibian inflation slowed to 3.4% y\/y in August on the back of a 4.0% y\/y increase in prices in July. Accordingly, prices in the overall NCPI basket decreased by 0.2% m\/m. On an annual basis, overall prices of five of the twelve categories rose at a quicker rate in August \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-29324","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\/29324","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=29324"}],"version-history":[{"count":1,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/posts\/29324\/revisions"}],"predecessor-version":[{"id":29330,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/posts\/29324\/revisions\/29330"}],"wp:attachment":[{"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/media?parent=29324"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/categories?post=29324"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ijg.net\/research\/wp-json\/wp\/v2\/tags?post=29324"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}