 10 African countries with the highest inflation rates in 2023. One of the most popular issues in the news at the moment is inflation. The Russian invasion of Ukraine, which marked its first anniversary last month, appended the world's commodity and energy markets, generating an imbalance that drove up prices everywhere. The worst affected nations were those that relied too heavily on imports of food and energy, with inflation shooting up to doubled digits and hurting large populations. Prices rise as a result of an increase in the money supply. A high rate of inflation may be detrimental to the expansion and advancement of the economy. People may be less likely to invest as prices rise because they can't predict how much their money will be worth in the future. Due to potential decreased business expansion and staff hiring, this could result in a decline in economic activity. People may also be less willing to save when prices increase since their money is worth less. Moreover, high inflation can result in a decline in a currency's purchasing power. They might not be able to afford necessities like food or housing when prices climb. As a result, more people may live in poverty because they are unable to afford the necessities of life. Hello there, you are watching Africa Reloaded. Today we will be visiting 10 countries with the highest inflation rates in Africa and how it is affecting the citizens of these nations. As always before we begin, a like on this video will be very much appreciated. 10. Malawi, 25.9%. This landlocked country in the southern part of the African continent is also amongst the poorest nations in Africa, added to the high level of inflation. The year over year inflation rate for January 2023, according to NSO, is 25.9%, up from 25.4% in December. The rates of inflation for food and non-food items are 30.5% and 20.4% respectively. In reaction to lowering worldwide inflation, the rate, which had been increasing for 12 straight months up until the beginning of the fourth quarter, has decreased in the last two months. Hopkins Kauai, an economist at Catholic University, foresaw this spiral, attributing it to high prices brought on by a domestic lean era. 9. Burundi, 28.6%. This is one of the smallest and poorest countries in Africa. Landlocked Burundi, also known as the Republic of Burundi, is located in the Great Rift Valley at the intersection of East Africa and the African Great Lakes region. This nation is a low income country with 80% of the population employed in agriculture. Burundi's annual inflation rate accelerated from 26.6% in December to 28.6% in January 2023, signaling the largest rise in consumer prices since May 2008. The range was 8.4% to 44.93% at its lowest point. 8. Rwanda, 30.3%. For the third consecutive month, Rwanda's annual inflation rate decreased to 30.3% in February 2023 from 31.1% in January and a peak of 33.8% in November 2022. The reading was the weakest in five months, and it coincided with a substantial decline in housing and utility prices, 3.1% versus 12% in January. Also, there were softer increases in the following categories. Transportation, 9.3% versus 9.7%, recreation and culture, 11.1% versus 12.2%. Furniture and domestic equipment, 14.1% versus 14.6%. Restaurants and hotels, 18.9% compared, 22.1% in January, and apparel and footwear, 8.9% versus 9.4%. Food prices, meanwhile, have been increasing steadily 59.7% versus 57.3%, especially for vegetables, 93.4% versus 88% and bread and cereals, 44.2% versus 47%. Consumer prices increased by 2.7% on a monthly basis in February, the largest in four months. 7. South Sudan, 30.7%. South Sudan's consumer price index grew to 19,072 index points this February. The maximum and minimum levels were 18,863 and 53.49 index points respectively. In February 2023, the annual inflation rate in South Sudan accelerated from 14.4% to a two-year high of 31.3%, driven primarily by higher costs for food and non-alcoholic beverages, 34.8% versus 11.4% in January. Housing and utilities, 38.8% health, 110.7% versus 96.3%. Transport, 54.1% versus 44.3%. Communication, 49.3% versus 46.8% and recreation and culture, 83.3% versus 37.8%. All experienced additional upward pressure. Monthly, the CPI increased by 18.6%. 6. Egypt, 31.9%. From 25.8%, the month before to 31.9% in February 2023. Well beyond market predictions of 26.9%, the annual urban inflation rate in Egypt continued to rise. That was the highest inflation rate seen since August 2017, and it remained above the 5-9% target range set by the central bank for a whole year, partly as a result of the weakened pound following many devaluations in recent months. Price increases in the CPI basket were mostly driven by food and non-alcoholic beverage costs, 61.8% versus 48% in January. The annual core inflation rate, which excludes volatile items like food, increased from 31.24% in January 2023 to 40.26% in February 2023, the highest level since at least January 2005. 5. Ethiopia, 32%. In February 2023, Ethiopia's annual inflation rate decreased to 32% from 33.9% in January and a six-month peak of 35.1% in November. Tef, a staple food for the majority of Ethiopians, is currently in short supply across the nation, and prices have increased by at least 50% since last year. Ethiopia's economy has been impacted by a protracted drought in the southeast of the country, ongoing economic hardships, the protracted conflict in Tigray, the COVID-19 outbreak, and the worldwide effects of Russia's invasion of Ukraine. 4. Sierra Leone, 38.48%. Over the previous 41 years, the Consumer Price Index in Sierra Leone has fluctuated between 3.3% and 178.7%. A projected inflation rate of 11.9% for 2021 was determined. Inflation averaged 31.2% yearly during the monitoring period of 1980 to 2021. Overall, there was a 2.03 million percent price increase. Beginning in 2022, a product that cost 100 leons in 1980 now costs 2.03 million leons. Sierra Leone's inflation rate jumped from 37.09% in December 2022 to 38.48% in January. 3. Ghana, 54.1%. In December, Ghana's inflation rate increased more than anticipated due to sharp rises in the cost of food, transportation, and accommodation in the West African nation. In the second largest cocoa producer in the world, annual inflation accelerated to 54.1% from 50.3% a month earlier, government statistician Samuel Kobina Annem told reporters on Wednesday in Accra. According to Bloomberg, this is the 120 countries being followed, including the Eurozone, with the seventh highest inflation rate in the world. 2. Sudan, 83.6%. The inflation rate for consumer prices in Sudan varied over the past 61 years between 10% and 382.8%. A 382.8% inflation rate was projected for 2021. The average annual inflation rate was 38% from 1960 to 2021, the monitoring period. Overall, there was a 1.59 billion percent price rise. By the start of 2022, a product that cost 100 pounds in 1960 now costs 1.59 billion pounds. The annual inflation rate in Sudan decreased from 87.3% in December 2022 to 83.6% in January 2023, the lowest level since March 2020. 1. Zimbabwe, 92.8%. Consumer price inflation in Zimbabwe decreased to 92.3% year over year. In February 2023, from 229.8%, the previous month and moved further away from the 18-month peak of 285% in August 2022. Since September 2022, the annual inflation has been falling, and it recently hit its lowest point since March of previous year. Consumer prices decreased by 1.6% on a monthly basis, the first decrease since June 2018, following a 1.1% increase in the prior month. On February 2, the central bank of Zimbabwe reduced its absurdly high policy rate by 50 percentage points to 150% in anticipation of a continuation of the downward trend in inflation. Inflation is currently calculated in Zimbabwe using a blended method. Given the rising usage of foreign currency in domestic activities within the economy and the high levels of foreign exchange deposits and loans in the banking sector, which are about 65%, Governor Mengudia claimed that blended inflation is the most suitable inflation for the Zimbabwean economy. With the high level of inflation in Africa these days, nations are suffering and trying to regain economic growth. The war on Ukraine is taking a great toll on the world and disrupting trade and prosperity. Thanks for watching. If you enjoyed the video, do well to like, share and subscribe to Africa Reloaded for more exciting videos. 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