CI-NEWS

Bamenda tops Cameroon’s inflation spiral in 2019!

2019-12-03

No: 459

Bamenda tops Cameroon’s inflation spiral in 2019!

Bamenda has been identified as the most expensive town to live in Cameroon.

The town was most hit by the inflationary spiral that gripped the Nation during the first nine months of 2019. The average rate of inflation in the country for the first nine months of 2019 rose to 2.5 per cent, as compared to 0.8 per cent during the same period (January-September) in 2018, a recent report by the National Institute of Statistics (NIS) has shown. The agency warns that if certain issues with inflationary potentials are not curtailed, the rate of inflation could hit 2.7 per cent by the close of the year.

According to the NIS study, inflation in the last 12 months stood at a rate of 2.3 per cent; an increase from 0.8 per cent in 2018 and 0.5 per cent in 2017. This translates to the fact that cost of living has been on a sustained rise in the course of the year. The report notes that the hike in inflation is largely caused by the increase in prices of groceries, notably frozen mackerel fish, fruits, vegetables, confectioneries, rice and beef, amongst others. The rising inflation rate of foodstuffs was offset by the drop in the prices of fats and oil, salt and spices. Supplies to markets are said to have experienced disruptions in the Far North and East Regions due to persistence of insecurity, and in the North West and South West Regions due to socio-political tensions. The prices of beverages were also increased by FCFA 25 to FCFA 100 with effect from March 1, 2019.

Besides groceries, the cost of restaurants and hotels is the second source of inflation, constituting 5.3 percent. It is closely followed by the cost of clothes and shoes (2.8 per cent), cost of transport (2 per cent), cost of housing, water, gas electricity and other combustibles (1 per cent) as well as cost of acquiring property and other services (2.5 per cent).

From the statistics, consumption cost in the last 12 months increased in all major towns in the country besides Maroua. Inflation rate has been the highest in Bamenda (4.8 percent), followed by Buea (2.9 percent), and then Douala (2.4 per cent), Bertoua (2.3 percent) and Yaounde (2.3 per cent). Other towns and cities registered inflation rates inferior to the national average.

The NIS has advised that the government continues to pursue its policy of supporting low and middle-income earners to access basic social services. The NIS also recommends that the government controls the strict application of homologated prices for goods of basic necessities, especially rice, fish and sugar. In addition, the agency points out that seeking a solution to the drawn out socio-political quagmire in the North West and South West Regions will help to ease inflation.

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Bamenda tops Cameroon’s inflation spiral in 2019!