We all thought an inflation rate of 2.2m% was crazy, but today we have been shocked again. Zimbabwe’s annual inflation rate soared to 11.2 million percent in June, state media reported on Tuesday quoting figures from the central statistical agency. It gained 9 035 045.5 percentage points from the May rate of 2 233 713.4 percent. And yet again, these figures can not be very accurate and are probably understated. Is there really any point in continuing to calculate the rate of inflation in Zimbabwe? I think not. An inflation rate of 11.2m% just does not make much sense and it is really difficult for someone with no experience of the Zimbabwe economy to understand what such a high inflation rate means.

If you are outside Zimbabwe and someone tells you that a loaf of bread is Z$2 million (for example), you really can not gauge what that means unless you convert that price into another currency or better yet, you find out how much that person is earning a month in Zimbabwe dollars and then you can see what percentage of that Z$2 million makes up his salary. You would be shocked to find out that someones salary in Zimbabwe is enough to only buy 10 loafs of bread a month. The economic situation in Zimbabwe is diabolical. 80% of the population is living below the poverty threshold, often skipping meals and walking long distances to stretch their income.

It is time for the political crisis in Zimbabwe to be resolved and for what used to be Africa’s ‘bread basket’ to be restored to its former glory.

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