Inflation, Poverty Datum Lines Rise In September 2021 – ZIMSTAT

The Zimbabwe National Statistics Agency (ZIMSTAT) has announced the September datum lines indicating an increase in inflation. Pindula News presents

Main Findings

• The Food Poverty Line (FPL) for one person in September 2021 was $4,734.00.
• The Total Consumption Poverty Line (TCPL) for one person stood at $6,654.00 in September 2021.


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Concepts and Definitions of the Lower Bound Poverty Line

With effect from November 2020, ZIMSTAT is now producing the Poverty Datum Lines (PDL) using the lower bound poverty line. The method refers to the sum of food poverty line and the average amount derived from non-food items of households whose total expenditure is equal to the food poverty line.

The food poverty line (FPL) represents the amount of money that an individual will require to afford the minimum required daily energy intake of 2 100 calories.

The total consumption poverty line (TCPL) which is naturally higher than the FPL was derived using 2017 PICES data and using the lower bound poverty line method. It was derived by computing the non-food consumption expenditures of poor households whose consumption expenditures were just equal to the FPL. The amount was added to the FPL, if an individual does not consume more than the TCPL, he or she is deemed poor. For more details, the user is referred to a more recent publication by ZIMSTAT, Zimbabwe Poverty Update 2017-19.

Detailed Results

The food poverty line (FPL) as at September 2021 stood at $4,734.33. This means that the minimum needs basket cost that much per person in September 2021. This represents an increase of 4.8 percent over the August 2021 figure of $4,516.52.

The Total Consumption Poverty Line (TCPL) for Zimbabwe stood at $6,653.65 per person in September 2021. This means that an individual required that much to purchase both non-food and food items as at September 2021 in order not to be deemed poor. This represents an increase of 4.8 percent when compared to the August 2021 figure of $6,350.29.

The poverty datum lines vary by province as prices vary from place to place. The differences are explained by differences in average prices in the provinces.

The quantities of commodities consumed at base year in the minimum needs basket which is consistent with the preferences of the poor individuals and households in Zimbabwe are fixed. The variations in the value of the basket are explained by changes in average prices.

NOTE: • The TCPL of $6,654.00 represents the total income needed for an individual (with all their income added together) as a minimum for them not to be deemed poor.

• ZIMSTAT produces the official Poverty Datum Lines which are not comparable to cost of living indicators produced by other players in the market.

Consumer Price Index— September 2021

The month on month inflation rate in September 2021 was 4.73 percent gaining 0.55 percentage points on the August 2021 rate of 4.18 percent.

The year on year inflation rate (annual percentage change) for the month of September 2021 as measured by the all items Consumer Price Index #CPI stood at 51.55 percent.

The 41CP1 for the month ending September 2021 stood at 3,342.02 compared to 3. 191.05 in August 2021 and 2,205.24 in September 2020.
Blended Consumer Price Index— September 2021

The month on month inflation rate in Sept 2021 was 1.94 percent gaining 0.62 percentage points on the Aug 2021 rate of 1.32 percent.

The year on year inflation rate (annual percentage change) for the month of September 2021 as measured by the all items blended Consumer Price Index #13CP1 stood at 24.44 percent.

The blended CPI for the month ending September 2021 stood at 125.60 compared to 123.21 in August 2021 and 100.93 in September 2020.

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3 comments on “Inflation, Poverty Datum Lines Rise In September 2021 – ZIMSTAT

  1. According to chief liar Mtuli Nube, there is no poverty in Zim and hardly any inflation. There is going to be a 7% growth in economic growth. Actually, to most people this country is f….d.

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