“WHEN BREAD BECOMES A LUXURY”

“WHEN BREAD BECOMES A LUXURY”

Economist Gibson Masumbu writes:

In 2021, I debated with Jose, my economist colleague, about the new government’s priorities. He emphasized stabilizing the economy and controlling inflation, while I, a layman, believed healthcare and job creation were more pressing concerns. With inflation at 16% in December 2021, Jose challenged me to track the price of a single product and observe its impact on my daily life.

I chose Pija Family Bread, a staple my family loved. Starting in January 2022, I bought a loaf every evening from a nearby outlet, initially costing K14. By March, the price had risen to K15. However, as the government’s efforts to curb inflation took hold, the price stabilized. By June 2022, inflation rate had dipped to 9.7%, and the price of Pija Family Bread remained steady at K15. With inflation rate held at single digit, the price of Pija remained at K15 until the year end.

But in 2023, the picture changed. Headline inflation initially decreased to 9.4% in January but began to rise, reaching double digits by April. The price of Pija Family Bread increased to K17, then K20 by December.

As 2024 progressed, the upward trend in inflation rate continued unabated. By June, inflation rate had reached 15%, and the price of Pija Family Bread had skyrocketed to K25. I was shocked to realize that I needed K50 to buy just two loaves, a luxury I could no longer easily afford with my stagnant income.

The final blow came on December 27th, when inflation rate surged to 16.7%. When I went to buy bread, I was greeted with a new price tag: K27 per loaf. For the first time, I was forced to settle for just one loaf, a painful reminder of my dwindling purchasing power.

As I walked home, a sense of unease settled in. The soaring cost of bread had laid bare the harsh reality of our economic struggles. It struck me that, as a nation, we’d grown numb to the crippling effects of high inflation. We’d reduced it to a mere abstraction – a statistic to be announced by officials like Mulenga, Goodson, or Sheila, a headline figure devoid of human consequence.

But the truth is, the headline inflation rate is not just a number; it’s a matter of life and death. It’s the embodiment of our inability to provide for our loved ones. The weight of this realization is crushing, especially when faced with the dilemma of explaining to my children why I can no longer provide their favorite bread.

As I look to the future, I know that the price of bread will continue to rise. But one thing is certain: the true cost of inflation will be felt in the hearts and homes of families like mine, who are struggling to make ends meet.

In the end, it’s not just about the bread; it’s about the dignity and security that comes with being able to provide for our loved ones. As we move forward, let us not forget the human cost of inflation and the importance of finding solutions to this pressing issue.