HARARE, Mar. 25 (NewsDay Live) – Zimbabwe’s Zimbabwe Gold (ZiG) annual inflation rate rose by 0,6 percentage points to 4,4% in March, in line with the Reserve Bank of Zimbabwe’s (RBZ) warning of elevated price pressures driven by fuel hikes.
The Zimbabwe National Statistics Agency (ZimStat) on Thursday reported that annual ZiG inflation increased from 3,8% in February to 4,4% in March.
The RBZ had cautioned that inflation would remain elevated between March and May following fuel price increases of nearly 27% for petrol and 16% for diesel.
On March 18, the Zimbabwe Energy Regulatory Authority raised fuel prices to US$2,17 per litre for petrol and US$2,05 for diesel, up from US$1,71 and US$1,77, respectively.
The increases have been attributed to global supply disruptions linked to the United States–Israel conflict with Iran, which has unsettled commodity markets and supply chains, given Iran’s role as a major oil producer.
“The ZiG year-on-year inflation rate for March 2026, as measured by the all-items ZWG Consumer Price Index (CPI), was 4,4%, up 0,6 percentage points from 3,8% in February,” ZimStat said.
“This means prices increased by an average of 4,4% between March 2025 and March 2026.”
Month-on-month ZiG inflation also edged up to 0,5%, from 0,1% in February.
“The ZiG month-on-month food and non-alcoholic beverages inflation rate was 0,3% in March 2026, up from -0,1% in February,” ZimStat said.
“The month-on-month non-food inflation rate rose to 0,6%, from 0,3% in February.”
Meanwhile, US dollar annual inflation rose to 1,3% in March, from 0,9% in February.
“The USD year-on-year inflation rate for March 2026, as measured by the all-items USD CPI, was 1,3%,” ZimStat said.
“Prices increased by an average of 1,3% between March 2025 and March 2026.”
Month-on-month USD inflation also increased to 0,5%, from 0,1% in February.
“The USD month-on-month food and non-alcoholic beverages inflation rate was 0,7% in March, up from 0,0% in February,” ZimStat said.
“The USD non-food inflation rate rose to 0,4%, from 0,2%.”
The total consumption poverty line for one person rose marginally to ZiG1 312,17 in March, from ZiG1 307,02 in February.
The Confederation of Zimbabwe Industries (CZI) said businesses would pass on higher fuel costs to consumers.
Government has already noted price increases, with bread prices rising by an average of 10% per loaf.
While authorities are yet to confirm broad-based increases in basic goods — including mealie-meal, cooking oil, sugar and meat products — consumers have reported price hikes.
Cabinet also flagged increases in transport fares, particularly by passenger operators.
To contain inflationary pressures, government approved a review of selected, time-bound fuel taxes and is considering raising ethanol blending in petrol from E5 to E20 to help lower pump prices.