HARARE (AFP) — Zimbabwe's inflation rate, already the highest in the world, rose to a new peak of nearly 8,000 percent last month, figures released by the central statistics bureau showed on Wednesday.
"The year-on-year inflation rate in September 2007 was 7,892.1 percent, gaining 1,389.3 percentage points on the August rate of 6,592.8 percent," the bureau said in a statement.
The month-on-month rate of inflation was 38.7 percent, the CSO added.
The new rise reverses a slight fall in the monthly rate that was recorded in September and punctures hopes by government that it was beginning to tame what central bank governor Gideon Gono has termed the country's "economic HIV".
"Year on year food and non-alcoholic beverages inflation stood at 7,759 percent 149.1 percentage points from the August figure of 7,908 percent," the CSO said.
"Non-food inflation was 8,096.7 percent up from 5,983.9 percent."
The poverty threshold for an average family of five stood at 22,658,400 Zimbabwe dollars (755 US dollars) in September, up from the August figure of 11,961,000 dollars.
Zimbabwe's economy has been on a downturn for the past seven years that has been characterised by galloping inflation and shortages of basic foodstuffs such as sugar and cooking oil.
At least 80 percent of the population is living below the poverty threshold, often skipping meals and walking or cycling to work in order to stretch their income to the next payday.
In August last year the central bank slashed three zeros from its currency and introduced new banknotes in a bid to rein in runaway inflation, as shoppers resorted to carrying cash in rucksacks on ordinary shopping trips.
Four months ago President Robert Mugabe ordered businesses to halve their prices, accusing them of colluding with his foes in the west to send prices threw the roof and ignite popular revolts against his rule.
The prices slash left supermarket shelves bare and exacerbated the shortages of basic commodities.
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