Category Archives: Inflation

Third wave of COVID and civil disorder pummel economy as GDP falls by 1,5%

Third wave of COVID and civil disorder pummel economy as GDP falls by 1,5%

Under the twin pressures of tighter COVID-19 lockdown restrictions and a spate of civil disorder in July, as well as several other headwinds, the South African economy contracted in the third quarter of 2021 (July–September). After recording four consecutive quarters of positive growth, real gross domestic product (GDP) slumped by 1,5%1, eroding some of the   read more »


Consumer inflation holds steady in October

Consumer inflation holds steady in October

The annual change in the consumer price index (CPI) in October 2021 was 5,0%, unchanged from the 5,0% recorded in September. The monthly rate also held steady, remaining at 0,2%. Food and non-alcoholic beverages (NAB) and transport were the most significant contributors to both the annual and monthly rates. Annual food inflation slows for a   read more »


Consumer inflation quickens for a second month

Consumer inflation quickens for a second month

Annual consumer price inflation edged slightly higher to 5,0% in September from 4,9% in August and 4,6% in July. This represents the fifth consecutive month with annual inflation above the 4,5% midpoint of the South African Reserve Bank’s monetary policy target range. The monthly change in the consumer price index (CPI) was 0,2%. Transport, food   read more »


Consumer inflation edges up in August

Consumer inflation edges up in August

The annual change in the consumer price index (CPI) in August was 4,9%. This was slightly higher than July’s increase of 4,6% and identical to the reading in June. This is the fourth consecutive month where the annual increase is higher than the midpoint (4,5%) of the South African Reserve Bank’s monetary policy target range.   read more »


Inflation softens for a second month

Inflation softens for a second month

Annual consumer price inflation edged lower to 4,6% in July from 4,9% in June and 5,2% in May. The monthly increase in the consumer price index (CPI) in July was 1,1%, the highest monthly jump since July 2020 when the CPI increased by 1,3%. The primary drivers behind the monthly rise were alcoholic beverages, housing   read more »


CPI inflation edges lower in June

CPI inflation edges lower in June

Annual consumer inflation eased to 4,9% in June after recording a 30-month high of 5,2% in May. The monthly increase in the consumer price index (CPI) was 0,2%, up from 0,1% in May but lower than the 0,5% rise recorded between May and June 2020. If annual consumer inflation is recalculated with the exclusion of   read more »


Consumer inflation quickens to a 30-month high

Consumer inflation quickens to a 30-month high

Annual headline inflation climbed above the 4,5% midpoint of the South African Reserve Bank’s monetary policy target range, accelerating to 5,2% in May from 4,4% in April. This is the highest reading since November 2018 when the rate was also 5,2%. The 5,2% annual change in May comes off a low base recorded in May   read more »


Consumer price inflation hits a 14-month high

Consumer price inflation hits a 14-month high

Annual headline inflation jumped to 4,4% in April from 3,2% in March, mainly driven by rising transport and food prices. This is the highest reading since before the lockdown, which was 4,6% in February 2020. Over the last 14 months, consumer price inflation was relatively subdued throughout the lockdown. The lockdown began on 27 March   read more »


Education inflation the lowest in 30 years

Education inflation the lowest in 30 years

Education inflation recorded its lowest annual rate in three decades, according to data from Stats SA’s latest Consumer Price Index (CPI) release. Stats SA surveys educational institutions and crèches once a year in March. Education fees increased by 4,1% in 2021. Last year’s rise was 6,4%. Historical data shows that this is the lowest increase   read more »


Annual consumer inflation slows to an eight-month low

Annual consumer inflation slows to an eight-month low

Headline inflation slowed to 2,9% in February from 3,2% in January, the lowest reading since June last year when the rate was 2,2%. This is the third time in the past 12 months that the annual rate has slipped below the bottom end of the South African Reserve Bank’s inflation target range. Inflation was below   read more »