Zimbabwe has admitted that official inflation has soared to 2.2 million per cent.

The rate has gone as high as 70 million per cent in the past year for some basic goods sold on the black market, the state central bank said.

Worsening shortages of basic goods, and the deadly political and economic turmoil surrounding the national elections in March and a disputed presidential run-off in June, fuelled the rise.

The last announcement of official annual inflation, in February, put the rate at 165,000%.

Zimbabwe Reserve Bank governor Gideon Gono announced the new figure of 2.2 million at the launch of a scheme to sell subsidised food through selected shops and a system of coupons.

The central bank also released a schedule showing what it called distortions in prices caused by black market trading and profiteering by businesses.

In the economic meltdown, unemployment has reached 80%.