South Africa Inflation Rate Edges Up to 4.8% in August


Inflation rate in South Africa increased to 4.8 percent from 4.6 percent in July which was the lowest since September of 2015 but below market expectations of 4.9 percent. Transport prices rose faster while food cost increased the least since November of 2015. Also core inflation fell to 4.6 percent, the lowest in five years.

Year-on-year, prices rose faster for transport (3.9 percent compared to 1 percent in July) as fuel cost recovered (5.7 percent compared to -3.6 percent) and alcoholic beverages and tobacco (4.3 percent compared to 3.3 percent). On the other hand, a slowdown was seen in cost of food and non-alcoholic beverages (5.7 percent compared to 6.8 percent); miscellaneous goods and services (7.5 percent compared to 7.6 percent) and recreation and culture (2.4 percent compared to 3.2 percent). Inflation was steady for housing and utilites (4.5 percent) and education (7 percent). 

Annual core inflation rate, which excludes cost of food, non-alcoholic beverages, petrol and energy fell to 4.6 percent, the lowest rate since August of 2012 compared to 4.7 percent in July.

On a monthly basis, consumer prices edged up 0.1 percent, following a 0.3 percent rise in July. Cost increased for alcoholic beverages and tobacco (1.2 percent) and transport (0.5 percent) but fell for food (-0.2 percent). 

Statistics South Africa | Joana Taborda | joana.taborda@tradingeconomics.com
9/20/2017 10:10:41 AM