Africa-Press – Zimbabwe. THE Zimbabwe Gold (ZiG) annual inflation rate dropped to 19% in November from 32,7% in October, as the greenback counterpart remained elevated at 13,1%, proving currency and statistical effects.
In the newly released inflation data from the Zimbabwe National Statistics Agency (ZimStat), it was revealed that the drop means that prices as measured by all items using the ZiG consumer price index (CPI) increased by an average rate of 19%.
This increase is from November 2024 to the current November.
The sharp fall in local-currency inflation compared to persistently high US dollar inflation suggests that the easing in ZiG-denominated price growth is being driven more by exchange-rate stability and statistical effects than by a genuine reduction in the cost of goods and services.
Economists say this divergence underscores structural issues that fiscal and monetary authorities should confront, particularly given the Reserve Bank of Zimbabwe’s continued tight management of the exchange
rate.
“The ZiG year-on-year inflation rate (annual percentage change) for the month of November 2025 as measured by the all-items ZiG Consumer Price Index (CPI), was 19%, shedding 13,7 percentage points on the October 2025 rate of 32,7%,” ZimStat said.
Despite the drop, the ZiG month-on-month inflation rate was 0,2% in November, gaining 0,6 percentage points on the October rate of -0,4%.
“The ZiG month-on-month food and non-alcoholic beverages inflation rate was 0,7% in November 2025, remaining constant on the October 2025 rate of 0,7%,” ZimStat said.
“The November 2025 ZiG month-on-month non-food inflation rate was 0% gaining 0,9 percentage points on the October 2025 rate of -0,9%.”
Comparatively, the US dollar month-on-month inflation rate for November was 0,2%, shedding 0,1 percentage points on the previous month’s rate of 0,3%.
According to ZimStat, the US dollar month-on-month food and non-alcoholic beverages inflation rate was 0,2% in November, remaining constant with October.
The November US dollar month-on-month non-food inflation rate was 0,2%, shedding 0,2 percentage points from October.
“The USD year-on-year inflation rate (annual percentage change) for the month of November 2025 as measured by the all-items USD Consumer Price Index (CPI), was 13,1%, gaining 0,1 percentage points on the October 2025 rate of 13%,” ZimStat said.
“This means that prices as measured by the all items USD CPI, increased by an average rate of 13,1% from November 2024 to November 2025.”
Economists warn that tight central bank control of the exchange rate, while temporarily suppressing ZiG-denominated inflation, creates deeper distortions in the economy.
By keeping the rate artificially stable, the authorities mask true price pressures, widen the gap with the parallel market and encourage arbitrage as forex becomes scarce.
This erodes confidence in monetary policy, undermines investment planning, and risks a sharper correction once the bank can no longer defend the rate.
Economists are looking to the 2026 National Budget and the National Development Strategy 2 document to address these issues.
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