Overall inflation for this year now projected to around 6% – BoN
The overall inflation rate is now projected to average around 6% for 2022, more than the previous forecast of 4.4%.
This was highlighted by Bank of Namibia Governor, Johannes !Gawaxab during a Monetary Policy announcement this week.
!Gawaxab said although overall inflation remains within a reasonable range, its food and transport components are expected to remain elevated and continue to have a disproportionate effect on the low-income segment of the society, and therefore require close monitoring.
“Domestic inflationary pressures are building up. Inflation averaged 4.5% during the first two months of 2022, compared to 2.7% in the corresponding period of 2021,” he explained.
According to Gawaxab, the rise in inflation was mainly driven by an increase in transport inflation, on account of a rise in international oil prices.