Africa throughout the year hardly recorded major improvements in many markets. Price increases in basic commodities like food and energy are set for the year, with economists predicting similar or worse results in 2023.
However, some countries on the continent ended the year with good news. Economic performances across the continent were shaky with some ending the year on a high note, and others recording a less fortunate fate.
If this is any indication, Africa may see some economic recovery by 2023, but this is a very high-stakes situation.
Regardless of the forecast, it does not exclude the fact that some African economies are experiencing a decline in inflation, after several months of increases.
According to data from Trading Economics, a financial data platform, which then takes data from the National Bureau of Statistics of each of the following countries, approximately 17 countries experienced a decrease in the inflation rate. Other African countries are experiencing rising inflation or have yet to release data for inflation reporting.
Some of the countries listed below have shown significant improvements in their economies, while others have recorded modest economic improvements.
Below are 17 of these countries and how successful they are in the last month of 2022.
Angola: Angola’s inflation rate reached the lowest since 2015. Angola’s annual inflation rate decreased for 11 straight months to 13.86% in December 2022 from 15.24% in the previous month. This was the lowest reading since November 2015, amid a stable kwanza during the month. On a monthly basis, consumer prices inch up by 0.87%, the lowest in seven months, after increasing by 0.82% in the previous month.
Namibia: The annual inflation rate in Namibia decreased for the second straight month to 6.9% in December 2022, from 7% in the previous month. This is the lowest reading since July 2022, mainly due to a decrease in transport prices (14.8% vs 18.3% in November), namely public transport services (1.4% vs 7.1%).
Nigeria: The annual inflation rate in Niger decreased to 3.1% in December 2022, from 3.5% in the previous month.
Mozambique: The annual inflation rate in Mozambique fell for the fourth consecutive month to 10.91% in December 2022, from 11.25% in the previous month. This was the lowest reading since June 2022, amid a general decline in the prices of goods and services, including food & non-alcoholic drinks.
Burkina Faso: The annual inflation rate in Burkina Faso decreased significantly to 9.6% in December 2022, from 12.2% in the previous month.
Cape Verde: The annual inflation rate in Cape Verde decreased for the fifth month to 7.6% in December 2022, down from 8% in November and a 14-year high of 9% in July. This was the softest inflation reading since April 2022, largely due to lower prices of food & non-alcoholic beverages.
Ethiopia: The annual inflation rate in Ethiopia fell to 33.8% in December 2022, from a six-month high of 35.1% in the previous month. Food inflation eased slightly (32.9% vs 34.2% in November), due to lower prices of most cereal products as well as oil, meat, milk and eggs.
Kenya: Kenya’s inflation rate fell for the second month in a row to 9.1% in December 2022, the lowest since August, compared to 9.5% in November. The YoY increase was mainly due to the increase in the cost of food and non-alcoholic beverages (13.8%), namely diluted and fortified corn flour; transportation (13.0%), namely state buses; and housing, water, electricity, gas and other fuels (6.2%).
Nigeria: The annual inflation rate in Nigeria fell to 21.34% in December 2022, down slightly from the 17-year peak of 21.47% in the previous month. It follows ten consecutive months of monthly increases in the middle of a slight deceleration in food prices (23.75% vs. 24.13% in November), which is the most relevant in the CPI basket. Prices also rose less for alcoholic beverages, cigarettes and cola (18.10% vs 18.48%); clothing & footwear (17.55% vs 17.66%); recreation & culture (15.74% vs 16.61%) and communication (11.2% vs 11.54%).
South Africa: South Africa’s annual inflation rate was 7.2% in December 2022, down from 7.4% in the previous month, as expected, but still above the upper bound of the South African Reserve Bank’s target range of 3%-6%. This was the softest reading since last May, as prices continued to fall mainly for transport (13.9% vs 15.3% in November), that of fuel (22.8% vs 25.3%).
Sudan: The Inflation Rate in Sudan decreased to 87.30 percent in December from 88.80 percent in November 2022.
Tanzania: The annual inflation rate in Tanzania fell slightly to 4.8% in December 2022, from a five-year high of 4.9% in the previous month. In Tanzania, the National Consumer Price Index (NCPI) measures changes over time in the cost of fixed goods and services purchased by a representative sample of households.
Rwanda: The annual inflation rate in Rwanda decreased to 31.7% in December 2022, from a peak of 33.8% in the previous month. Prices slowed mainly for food & non-alcoholic beverages (59.2% vs. 64.5% in November), namely vegetables (91.2% vs. 99.1%) and bread & cereals (52.3% vs. 58 .3%); housing & utilities (13.1% vs 14.6%); furniture & household appliances (16.1% vs 17.8%) and transportation (9.9% vs 10.6%).
Senegal: The annual inflation rate in Senegal decreased to 12.8 percent in December 2022, from the highest record since at least 2006 from 14.1 percent in the previous month. This was the first drop in consumer prices since March, as costs rose more slowly for food and non-alcoholic beverages (18.8 percent vs. 21.4 percent in November) and transportation (2.2 percent vs. 2.6 percent). . On a monthly basis, consumer prices fell by 1 percent, after a gain of 0.2 percent the previous month.
Seychelles: The annual inflation rate in Seychelles decreased for the third straight month to 2.53% in December 2022 from 2.62% in the previous month. This is the lowest rate of inflation since June, amid a drop in prices for non-food products (2.44% vs 2.61% in November), namely transport (0.29% vs 1.74%); and other foods, excluding fresh fish (2.49% vs 2.52%), mostly oil & fat (11.79% vs 15.33%).
Act on: The Inflation Rate in Togo decreased to 7.70 percent in December from 8.70 percent in November 2022. In Togo, the main components of the Consumer Price Index are: Food & Non-Alcoholic Beverages (32%), Restaurants & Hotels (15%), and Home & Utilities (12%).
Uganda: Uganda’s annual inflation fell to 10.2% in the three months to December 2022 compared to 10.6% in November. Prices slowed for transportation (1.5% vs. 5.1% in November); furniture, household and routine household appliances (14.3% vs 15.1%); and alcoholic beverages, tobacco and narcotics (8.0% vs 8.7%).