South Africa Inflation Rate at 8-Month Low in August

Consumer prices in South Africa went up 5.9 percent year-on-year in August of 2016, following a 6 percent gain in the previous period and in line consensus. It is the lowest reading since December as transport inflation slowed.

Compared to August 2015, main upward pressure came from housing and utilities (5.8 percent, the same pace as in July); food and non-alcoholic beverages (11.3 percent, the same pace as in July). Meantime trasport inflation slowed (2 percent from 3.1 percent) and cost of miscellaneous goods and services rose at a slower pace (6.9 percent from 7 percent).

On a monthly basis, consumer prices edged down 0.1 percent after a 0.8 percent increase in the previous month. Cost of food and non-alcoholic beverages increased 0.8 percent, driven by a 5.1 percent gain in sweets and desserts; a 2 percent rise in bread and cereals. Prices of housing and utilities showed no growth, while transport prices dropped 2.2 percent, due to a sharp 7.6 percent fall in cost of petrol.

The core index which excludes prices of food, non-alcoholic beverages, petrol and energy rose to 5.7 percent year-on-year at the same pace as in July. Month-over-month, prices went up 0.2 from 0.6 percent in the previous month.

South Africa Inflation Rate at 8-Month Low in August

Statistics South Africa | Mojdeh Kazemi |
9/21/2016 9:26:38 AM