Zimbabwe Inflation Narrowly Short of 8,000%

The rate of inflation in Zimbabwe has gone through the roof, according to figures published by authorities today.

According to recently published figures, Zimbabwe’s inflation crisis spiralled to an almighty 7,638% annual rate of inflation for the month of July - the highest rate of inflation on the planet.

The official report released today was the first in three months, following speculation of a 50% increase on the inflation figure in the month of May.

Since then, reports suggest, the government has responded by taking matters into their own hands – forcing the tertiary sector to slash prices and initiating criminal proceedings where compliance is not met.

The International Monetary Fund believes that a figure of 100,000% is realistic by the end of the year, reflecting the degree of the economic crisis facing the region.

As government policy forces prices to freeze, production is slowing as businesses fear losses. Meanwhile, supermarket shelves continue to lie empty, with many producers falling short of even the most basic raw materials.

The inflation, said to be a result of massive shortages, is causing citizens to move to neighbouring South Africa in their thousands, sparking fears of a humanitarian crisis.

Zimbabwe’s leader, President Robert Mugabe has continued to deny any fault of his administration, instead levelling the blame upon the UK and other developed nations.

According to Mugabe’s administration, years of sanctions and boycotts have led to the economic problems now facing the economy - little comfort to the 80% of the population living unemployed.

The Zimbabwe Consumer Council has also today published its unofficial inflation figure, citing the level closer to 13,000% than that published today. It remains to be seen whether the country can withstand much more of this economic battering over the coming months, and what if anything the government can do to rectify the situation.

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