Zimbabwe inflation at 11.2 million percent

HARARE, Zimbabwe, Aug. 19 (UPI) -- Zimbabwe government officials have confirmed the nation's inflation rate has increased to 11.2 million percent, the world's highest.

Price controls could not stop a growth from 2.2 million percent in May. The government of President Robert Mugabe has tried to blame the crisis on outside forces, reported CNN Tuesday.

"While our case has been aggravated by the illegal sanctions imposed by the Western powers, rising food prices are a world phenomenon because of the use of bio-fuel," said Samuel Mumbengegwi, Zimbabwe's finance minister. "But we will continue to fight inflation by making sure that prices charged are realistic."

One of Zimbabwe's leading banks, Kingdom Bank, last week said the country's inflation rate was actually more than 20 million percent. It predicted more difficulties for the country which has been in economic and political chaos for the past decade since Mugabe's government instituted land reforms, booting white farmers off their lands and other changes that wrecked the agricultural sector, discouraged foreign investment and sent capital out of Zimbabwe.