Botswana’s annual inflation rate rose to 1.7% in November 2024, up from 1.6% in October, according to the latest Consumer Price Index (CPI) report released by Statistics Botswana. The modest increase reflects shifts in the prices of key consumer goods and services, offering insight into the country’s broader economic landscape.
The main contributors to the rise in inflation were the Food & Non-Alcoholic Beverages and Miscellaneous Goods & Services categories, each accounting for 0.7 percentage points of the total increase. However, the Transport category mitigated inflationary pressures by contributing negative 0.6 percentage points to the overall inflation rate.
Inflation varied across different regions in Botswana. Rural Villages recorded the highest increase, with the inflation rate rising from 1.9% in October to 2.1% in November. Urban Villages experienced a similar increase from 1.6% to 1.8%, while Cities and Towns saw a smaller rise from 1.4% to 1.5%.
In terms of the Consumer Price Index, the national index rose by 0.1%, moving from 134.1 in October to 134.3 in November. Rural Villages registered a 0.3% increase, rising from 134.3 to 134.7, while Urban Villages and Cities & Towns recorded increases of 0.1%, with indices rising to 134.4 and 134.0, respectively.
The Food & Non-Alcoholic Beverages index saw a 0.3% increase, driven by price hikes in key sections, including Fruits (4.5%), Sugar, Jam, Honey, Chocolate & Confectionery (1.7%), Coffee, Tea & Cocoa (0.9%), and Oils & Fats (0.8%).
The Alcoholic Beverages & Tobacco index rose by 0.5%, attributed to a 0.6% increase in Alcoholic Beverages prices. The Recreation & Culture index recorded the highest increase among all categories, rising by 1.2% due to growth in the prices of Audio Visual, Photographic & Information Processing Equipment (1.5%) and Other Recreational Items & Equipment (0.9%).
The All-Tradeables index increased by 0.2% from 140.2 in October to 140.6 in November. The Domestic Tradeables Index also rose by 0.2%, from 140.9 to 141.2, while the Imported Tradeables Index followed suit, increasing from 140.0 to 140.3. The Non-Tradeables Index, however, remained steady at 125.7.
In terms of inflation rates, the All-Tradeables inflation rate rose to 1.4% in November, up from 1.1% in October. The Imported Tradeables inflation rate shifted from -0.1% in October to 0.4% in November, reflecting price increases in imported goods. On the other hand, the Domestic Tradeables inflation rate declined from 4.5% to 4.3%, while the Non-Tradeables inflation rate decreased slightly from 2.4% to 2.3%.
The November 2024 CPI report underscores the importance of continuous monitoring of inflationary trends as they impact the cost of living and inform socio-economic policies. The increase in food prices is particularly significant, given its impact on household expenditure.
Statistics Botswana’s monthly production of the CPI report provides stakeholders, including policymakers, businesses, and consumers, with essential insights into the country’s inflationary pressures.
