The Bank of Tanzania (BOT) Quarterly Economic Bulletin for September 2016 shows that Tanzania’s average headline inflation decreased to 4.8% in Q3 2016 from 5.3% in Q2 2016 and 6.3% in Q3 2015.
Inflation for food and non-alcoholic beverages was 6.9% in Q3 2016, compared to 7.4% in Q2 2016 and 10.1% in the corresponding quarter in 2015.
Non-food inflation was 2.9% in Q3 2016 against 3.6% in Q2 2016 and 1.8% in Q3 2015.
Inflation for energy and fuels in Tanzania was 6% in the quarter ending September 2016 against 7.7% in the preceding quarter.
The inflation rate of Tanzania peaked at 6.8% in December 2015. Since then, it has been steadily decreasing, reaching 5.1% in April 2016, slightly increasing to 5.5% in June, and again, falling to 5.1% in July, 4.9% in August, and 4.5% in September and October 2016.
The Bank of Tanzania (BOT) Monetary Policy Statement of June 2016 indicates that the BOT target is to keep inflation close to 5%.
Tanzania’s inflation rate is projected to remain stable at 5% throughout H1 2017 and to remain constant in the medium term, according to the Ministry of Finance and Planning.