By zainab.joaque@awokonewspaper.sl
Freetown, SIERRA LEONE – Sierra Leone’s latest inflation figures for February 2025 present a tale of two economies, with consumers facing sharply rising transport costs even as food prices show welcome declines, according to data released by Statistics Sierra Leone.
The national consumer price index slowed to 13.09% year-on-year in February, down from 14.03% in January. This 0.94 percentage point decline marks the third consecutive month of easing price pressures, though sectoral variations reveal significant underlying shifts.
Commuters and businesses absorbed the sharpest increases:
- Transport inflation jumped 2.18 percentage points to 3.98%
- Communication costs edged up slightly to 4.15%
Analysts attribute the transport surge to rising fuel prices and vehicle maintenance costs following the depreciation of the Leone against major trading currencies.
Consumers received relief in key household expenditure categories:
- Food and non-alcoholic beverages (40.3% of CPI weight) fell 1.33 points to 13.45%
- Alcohol and tobacco prices dropped sharply by 2.42 points to 10.23%
- Housing costs (utilities and fuels) declined 1.98 points to 11.45%
“The food price moderation reflects improved domestic harvests and stabilizing global commodity prices,” explained economics lecturer.
Other notable price movements included:
- Clothing and footwear: Down 0.93 points to 12.38%
- Healthcare costs: Fell 1.70 points to 9.85%
- Restaurant/hotel services: Dropped 1.61 points to 25.86%
- Education services: Remained unchanged year-on-year
The mixed inflation picture presents both opportunities and challenges:
- Lower food prices may increase household disposable income
- Rising transport costs could feed into broader production expenses
- Sectoral disparities complicate monetary policy decisions
“The central bank will need to weigh these competing trends carefully in its next rate-setting meeting,” cautioned Financial Markets Analyst Mohamed Sankoh.
As Sierra Leone navigates post-IMF program economic stabilization, policymakers will monitor whether February’s transport cost increases prove temporary or signal a new inflationary wave. The March inflation report, due mid-April, may determine the next phase of monetary policy response.
Key Inflation Indicators – February 2025
Category | Inflation Rate | Change from January
Overall CPI | 13.09% | -0.94
Food/Non-Alcohol | 13.45% | -1.33
Transport | 3.98% | +2.18
Housing Utilities | 11.45% | -1.98
Restaurants/Hotels | 25.86% | -1.61
The Ministry of Finance maintains that its fiscal consolidation measures continue to bear fruit, while acknowledging that global oil price volatility remains a wildcard in inflation management. ZIJ/7/4/2025
