Prices go up again for bread and phone tariffs

By Tererai Karimakwenda
09 October 2006

Just over a week after we reported that bus fares and food prices had gone up, the price of bread is reported to have changed again by almost 90%. Last week a loaf cost about Z$295. Our Harare correspondent Simon Muchmewa told us Monday that shops in the capital are now selling loaves for Z$560. Other essential daily items did not register such huge increases, but Muchmewa said prices for milk, sugar and maize meal, when you find them, seem to rise a little every day.

Tariffs for communicating by telephone have also gone up. Muchemwa said as of October 7th Econet increased their tariffs by an average of 45%. A mobile to mobile call went up from Z$37 to Z$54 a minute. Econet to Telecel mobile calls went up from Z$50 to Z$64 a minute.

Muchemwa said most land lines in Harare are not functioning because there are no replacement cables. But despite this the cost of calling a land line from a mobile phone has also gone up. As a result Internet cafes have increased their prices as well. One minute in virtual space cost Z$6 before the increases. Now each minute costs anywhere from Z$10 to Z$15 with a required minimum of
Z$200 usage.

Muchemwa said civil servants have been promised a 40% cost of living salary adjustment which has made them very angry because it means nothing in the face of the current inflation rates. Teachers have threatened to strike.