By MERVIS MUSONDADespite the inflation hitting a single digit it has no positive effective on the cost of living, Economist Lubinda Habazoka has said.Dr Habazoka said people should understand that the reduction in the inflation does not mean prices of commodities need to reduce.He said reduction in inflation simply means the slow pace at which prices are increasing.He has since suggested that there is need to focus on ensuring the exchange rate reduces in order for prices of goods and services to reduce.He said prices could only fall when the inflation hit zero or negative, this is when it can have a positive effect on the welfare of the people.And another Economist, Yusuf Dodia, says that there is a disconnect between the inflation rate which was shared by the government and the reality that is on the ground in terms of the cost of living. Mr. Dodia says what is been presented by government is different […]
‘Inflation rate reduction has no effect on cost of living’
