Zimbabwe economy: Inflation, SABMiller and gold output

Written by Editor Tuesday, 19 October 2010 10:17

A roundup of the latest economic news out of Zimbabwe.  

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Zimbabwe inflation

Zimbabwe’s annual inflation quickened to 4.2 per cent year-on-year in September from 3.6 per cent the previous month, the Zimbabwe National Statistical Agency (Zimstats) said on Friday.

Month-on-month inflation was at 0.1 per cent from -0.1 per cent in August, Zimstats said in a statement. Zimstats figures showed that rising food, beverages and utility prices drove inflation higher.

Zimbabwe gold output

Zimbabwe expects gold production to rise 78 percent this year, David Matyanga, senior economist at the country’s Chamber of Mines, said in an interview from Harare.

Production in the year through September was 5.88 metric tons, worth $224 million, Matyanga said today.

“We anticipate 2010 production to rise about 78 percent to 8.8 metric tons,” Matyanga said, adding that the output included gold recovered by platinum miners.

Zimbabwe produced about 4.9 metric tons of gold in 2009, worth $157 million, which was a 39 percent increase on the previous year, the economist said.

SABMiller

Global brewer SABMiller announced on Monday that its Zimbabwe division has been reinstated into the group's official results after a turnaround in the troubled nation's economy.

"Following the stabilisation of the economy in Zimbabwe after the effective adoption of the US dollar as its currency, we have included our share of Zimbabwe's volumes and results for the first half of this year," SABMiller said in a statement.

Lager sales fizzed 11 percent higher in Africa, boosted by Zimbabwe unit Delta Corporation. Stripping out Zimbabwe, African sales grew by a solid 7.0 percent.

Asian volumes jumped ten percent while Europe fell five percent.

SABMiller, which owns 36 percent of Delta, stopped adding the division in its official results four years ago amid chronic foreign currency shortages and economic chaos.