Inflation up to 6,3%

The annual inflation rate jumped to 6,3% in July from the 5,5% recorded in June. This is the first time since April 2012 that the CPI has strayed outside of the inflation target band.

The increase in the annual rate was almost totally due to the 84c/l increase in the petrol price which resulted in a 6,9% monthly increase and a 22,6% annual increase in the petrol index.

Municipal service charges are surveyed in July each year and registered increases of between 9,4% (water) and 6,1% (assessment rates). Overall these increases are lower than those imposed in 2012 which dampens their effect on the headline inflation rate.

Tobacco (up 1,5% month on month) and funeral services (up 1,1% month on month) were other products showing significant increases in July.

Download – CPI Publication