April 7, 2017 By Ibrahim Tarawallie
The Consumer Price Index (CPI) release by Statistics Sierra Leone (SSL) yesterday for the month of January 2017 has shown a significant increase in inflation rate.
A release from SSL stated that the CPI increased from 187.39 percent in December, 2016 to 191.59 percent in January, 2017, resulting in a 2.24 percent increase in inflation rate for January.
Also, the national annual inflation rate for January, 2017 increased slightly from 17.41 percent in December, 2016 to 18.66 percent in January, 2017.
Similarly, the monthly rates of inflation increased in all the regions with the Western Area recording 2.58%, North-2.06%, South-1.35% ,with the Eastern region having 2.63%, comprising two centres- Kenema-2.95% and Kono 2.29% during the same period.
According to the release, the increase in both the monthly and annual rates of inflation in the month of January 2017 was mainly due to the shortage in the supply of some food and non-food items, reinforced by a slight instability on the value of the Leone as against the foreign currencies, especially the US Dollar.
“This resulted into an increase in the cost of imported items like rice, alcohol, building and clothing materials etc. Again, the year-on-year rates of inflation increased in the western region from 16.91% in December, 2016 to 18.64% in January, 2017, North from 19.08% to 19.54%, East from 18.24% to 20.41% and the Southern region decreased from 15.69% to 16.13%,” the release stated.
The National CPI measures the change in prices, on average, from month to month, of the goods and services bought by most households in Freetown, Bo, Kenema and Makeni, including all expenditure groups and both families and single persons.