July 2023 Basic Needs and Nutrition Basket: Lack of Measures to Counteract Shifts in Production Inputs (Fuel, Maize) Worsening the Cost of Living

The high cost of living, undeniably a global crisis, has continued to be driven by factors such as seasonality, fuel pump price fluctuations and exchange rate variations. These movements have continued to cause a steady increase in the price of both food and non-food items. This scenario makes it difficult for households to attain fundamental basic necessities, as incomes and livelihoods rarely adapt in sync with fluctuations in prices. The staple food, mealie meal, which has seen sustained higher prices than usual this year, is one commodity worth highlighting. For a family of five as estimated by JCTR, two 25kg bags of “roller” mealie meal is required per month for consumption. The July BNNB data revealed a worrying trend, with the cost of two bags of roller mealie meal exceeding the K360 mark, thereby eroding the purchasing power of households and making it increasing challenging for households to manage their daily expenses.