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Monday, Mar 13, 2006

International

Zimbabwe inflation soars to 782 per cent
http://www.hindu.com/2006/03/13/stories/2006031302541600.htm

HARARE: Inflation for the 12 months to February soared to an all-time
high of 782 per cent in Zimbabwe, the Central Statistical Office has
announced.

In a broadcast on Saturday, state radio said prices rose 27.5 per cent
during the month of February alone, with an average family of five needing
Zimbabwean $9 million (U.S. $90) at the official exchange rate, just to meet
basic food needs.

Trade unions say that those still in formal employment - about 20 per
cent of the work force - were earning an average of Z$5 million to Z$6
million (U.S.$50-U.S.$60) a month. Workers on formerly white-owned
commercial farms, by contrast, were receiving as low as Z$300,000 (U.S.$3) a
month from their employers, many of them beneficiaries of President Robert
Mugabe's "fast track" land redistribution programme.

Farm production, exports and the value of the Zimbabwean dollar, worth
U.S.$2 at 1980 independence, went into free fall after Mr. Mugabe ordered
seizure of 5,000 farms in February 2000. United Nations agencies say 3
million Zimbabweans are now dependent on international food relief.

The country was for many years a major food exporter.

Moffat Nyoni, acting director of the Government-run Statistical
Office, said soaring rentals were a significant factor while prices of food
and non-alcoholic beverages rose 824 per cent in the 12 months to the end of
February 2006. - AP

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