Browsing: food inflation in Africa

• • Africa failing to meet the needed sustainable agriculture practices
  • Adoption of sustainable agricultural practices remains low across the continent
  • Digital development key to agro-development in Africa

Food inflation in Africa

Food inflation in Africa is worsening by the day, with the World Bank reporting that 5 of the World’s top 10 countries with the highest real food inflation rates are African countries.

The World Bank’s May 2024 “Food Security Update” highlights sustainable agriculture importance to Africa’s agri-food systems.

“The tenets of sustainable agriculture entail reconciling environmental and social equity with economic development in order to provide for the present without compromising the ability of future generations to meet their own needs,” reads the report in part.

Analysts suggest that sustainable agriculture practices seem elusive for Africa, given that Africa holds 60 per cent of the World’s arable land. Yet, it cannot feed itself, let alone the rest of the World.…

• Zimbabwe is the worst hit in Africa with food inflation at 26% YoY, followed closely by Egypt at 18%, Malawi at 9%, and Guinea at 7%.
• The persistent weakness of the Zimbabwe dollar has been a driving force behind the steep price growth throughout 2023.
• Real food inflation, calculated as the difference between food inflation and overall inflation, provides a dire picture of the strain on households’ budgets in these countries.

The economies of Zimbabwe, Egypt, and Guinea are facing significant challenges due to soaring food inflation, placing them among the top 10 countries globally most affected by this roiling crisis.

According to the World Bank’s February 2024 update, Zimbabwe leads the pack in Africa, with food inflation at a staggering 26 per cent year-on-year, followed closely by Egypt at 18 per cent and Guinea at 7 per cent.

Real food inflation, calculated as the difference between food inflation …

• General cost of living in Africa has increased driven by food inflation.
• Researchers project a possible decline in food prices in 2024.
• Food security in Africa is threatened by possible escalation of conflict in Gaza.

The cost of living in Tanzania is steadily increasing, driven by the rise in the prices of basic foods. As of August 2022, Tanzania’s food inflation was reported at 7.8 per cent by the World Bank. The inflation rate worsened, reaching a peak of 9.7 per cent as of December 2022.

“This upward trajectory of food prices persisted into January 2023, where the food inflation rate reached 9.9 per cent,” reports Tanzania Investment and Consultant Group Ltd (TICGL), an economic research institute.

Food inflation is not only affecting East Africa but also most of the rest of the world. The World Bank states, “Inflation higher than 5per cent is experienced in 63.2 per cent of …