Zimbabwe's yearly and monthly inflation levels have registered declines, the latest data from the Zimbabwe National Statistics Agency (ZIMSTAT) reveals.

Month-on-month inflation rate for January 2022 retreated to 5,34% after shedding 0,42% in December.

The ZIMSTAT data released this week indicates that year-on-year inflation for January 2022 stood at 60 61% from 60,74% last December.

"The month-on-month inflation rate in January 2022 was 5,34% shedding 0,42% on the December 2021 rate of 5,76%. This means that prices, as measured by the items Consumer Price Index, increased by an average of 5,34% from December 2021 to January 2022," ZIMSTAT said.

Inflationary levels sustained a downward trend for the better part of 2021, but only surged towards the close of the year due to a number of factors, including the effects of the parallel market speculation.

Since 2019, Zimbabwe has consistently implemented a raft of economic reforms which have resulted in a huge cutback in government expenditure and the introduction of the local currency which has maintained relative stability.

The inception of the Reserve Bank of Zimbabwe (RBZ) Foreign Currency Exchange Auction has also supported companies' needs and pushed away large corporates from the parallel market limiting the impact of speculative tendencies.