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Zim prices 'are falling'

Mar 24 2009 16:45

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Harare - Zimbabwe said on Tuesday that US dollar prices are falling after years of hyperinflation, as the national statistics agency said it had stopped calculating data in the now-obsolete local currency.

The last official assessment of Zimbabwe's inflation in July last year put the rate at 231 million percent, a figure that independent economists saw as a gross understatement.

But the Central Statistical Office said it had stopped calculating inflation in Zimbabwe dollar terms since January, when the government legalised the use of US dollars and South African rands for all trade.

Since that decision, the Zimbabwe dollar has disappeared from the streets.

The statistics office said all inflation calculations would now be based in US dollars, and by that measure, prices have been declining all year.

"Prices as measured by the all-items consumer price index decreased an average of 3.1% from January 2009 to February 2009," the agency said.

"The month-on-month inflation rate in February was -3.1%, shedding 0.8 percentage points on the January rate of -2.3%," it said.

- AFP

 
 
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