Friday, December 03, 2010
Inflation in Zimbabwe... WHY?
In Zimbabwe the largest supermarkets have increased their average price for a basket of goods by about 15% during the fourth quarter of the year. Experts say the rate of food price inflation was making life increasingly difficult for the millions of families already struggling to make ends meet under the weight of rising rentals, energy costs, taxes, interest rates and school fees.
After enduring hyper-inflation that peaked at 400 million percent, the country adopted the USD in Feb 2009, a move which many thought would stabilize the economy. But what is the reason for the sudden rise in prices of goods and services? Could it be the country's trade rebate structure, firming of the rand, taxes, response to speculation or is it sheer profiteering? To read more click here.
For the women in ASAP's Village Savings & Lending rural micro-finance project, their funds are often invested in assets - household commodities such as cooking oil, sugar and salt. This protects their capital in volatile times, often increasing profit. To read more click here. Remember, your donation of only $30 will improve the life of a struggling family by providing VS&L training.