January 11, 2007	Thursday	Zilhaj 20, 1427

HARARE, Jan 10: Inflation in Zimbabwe hit a new record high of 1,281 per cent on Thursday, puncturing government hopes of reining in the galloping rate which has left households struggling to make ends meet.

Figures released by the central statistics office (CSO) showed that the year-on-year inflation rate had risen by 182 percentage points in December from 1,098 per cent in November.

The figures were published on the same day the country's leading consumer watchdog produced a report which showed the average monthly bill for households in Zimbabwe shot up by 43 per cent last month alone.

Acting CSO director Moffat Nyoni said the highest cost increases were in emergency medical services which rose 48,217 per cent, electricity, gas and other fuels which went up by 3,542.1 per cent and hospitals and clinic fees which jumped by 3,447.5pc.

“A bundle of goods and services that cost $100,000 in Dec 2005 would on average cost $1,381,000 in Dec 2006,” he said.

Zimbabwe is in the seventh year of economic recession characterised by high inflation, massive unemployment and chronic shortages of foreign currency and basic goods like fuel and the staple cornmeal.

Inflation first passed the 1,000 per cent rate in April last year and reached its previous high of 1,204 per cent in August before dipping slightly.

Presenting the budget for 2007 last month, Finance Minister Herbert Murerwa forecast that inflation would drop to below 400 per cent in the latter half of the year.—AFP