Inflation in Tanzania up to 6.5 percent in March

Inflation in Tanzania has reached a five-year-high of 6.5 percent at the end of March, according to the country's central bank.

Local economists attributed the rise of inflation rate to drought-caused food shortages and hiked fuel prices.

Inflation in February was 5.8 percent.

The Bank of Tanzania said in its latest edition of monthly review report that acceleration of prices was notable in both food and non-food categories.

"The upward trend in inflation is mainly due to food supply shortages caused by the drought and increased fuel prices that lead to higher transport costs," said the bank report available on Wednesday.

Food prices increased by 0.3 percent between February and March while prices of fuels and transport rose by 4.9 percent and 3.4 percent respectively, according to central bank figures.

Source: Xinhua