Zimbabwe's inflation rises to 4.8%

(AFP)

HARARE — Annual inflation in Zimbabwe accelerated to 4.8 percent in April, up from 3.5 percent in March, the government statistics agency announced Friday.

Zimbabwe's economy was ravaged by runaway hyperinflation during a decade-long freefall that impoverished the country.

But prices have stabilised since the government abandoned the worthless local currency last year, allowing trade in US dollars and other foreign currencies.

The economy has shown signs of recovery since the formation of a power-sharing government last year by President Robert Mugabe and long-time rival Morgan Tsvangirai.

But Finance Minister Tendai Biti last month revised down the growth forecast for this year from 7.7 to 4.8 percent, citing slower-than-expected foreign investment.