Zim poverty line up 37% in July – Zimstat

New Ziana > Business > Zim poverty line up 37% in July – Zimstat

Harare, (New Ziana) – Zimbabwe’s poverty datum line (PDL) surged 37 percent in July to $15 573 as prices of goods and services continue to go up under a Covid-19 induced lockdown, latest data from the Zimbabwe National Statistics Agency (Zimstat) shows.

The PDL represents the amount of money an average household of five people requires to purchase goods and services for it not to be deemed poor.

In June, the poverty datum line stood at $11 334.

“The food poverty line for one person in July was $1 329 while for an average household of five was $ 6 643,” Zimstat said, explaining how much was required to be able to buy basic food items only.

In June, one person required $950 while five people needed $4 749 for food only.

The International Labour Organisation recommends that the PDL should be used as a benchmark in determining minimum wages.

However, in the current environment where the economy and consequently most companies are under-performing as the Covid-19 pandemic ravages the globe, wage growth is by far lagging behind inflation.

Some companies have even slashed salaries as they try to remain afloat while some have closed shop.

But even those that are flourishing under the current environment are paying wages far below the PDL, leaving most struggling to make ends meet.
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