Zambia’s Inflation Falls to Lowest Level in Over Two Years

Lusaka – Zambia’s annual inflation rate eased to 10.9% in November 2025, the lowest level since August 2023, down from 11.9% in October. This marks the seventh consecutive month of slowing price growth, reflecting the stabilising effects of a stronger Zambian Kwacha and easing pressures on both food and non-food items.

According to data released on Wednesday, food inflation moderated to 13.9%, compared to 14.1% in October, while non-food price growth slowed significantly to 6.6% from 8.7%, providing relief to households across the country.

On a monthly basis, the Consumer Price Index (CPI) recorded a 0.7% increase in November, the largest monthly gain in seven months, after a 0.4% rise in October. Economists interpret this as a normal seasonal adjustment reflecting increased demand in certain sectors, while overall inflationary pressures continue to ease.

The sustained deceleration comes amid a stronger Kwacha, which has helped lower the cost of imported goods, and continued prudent monetary and fiscal measures by the Bank of Zambia and the government. Analysts note that the decline in non-food inflation, particularly in energy and transport-related costs, has contributed significantly to the overall slowdown.

If the trend continues, Zambia could see inflation approaching single digits by the end of the year, supporting household purchasing power and stabilising business operating costs.

The official inflation calendar highlights that previous months saw:

• October 2025: 11.9% (down from 12.3% forecast)
• November 2025: 10.9% (down from 11.6% forecast)
• December 2025 (TE Forecast): 10.9%

The data signals a positive macroeconomic outlook for Zambia, with policymakers likely to maintain a cautious but supportive approach to sustain price stability.