South Africa Inflation Steady at 5.9%


South African annual inflation rate was unchanged at 5.9 percent in October, staying in the central bank’s 3 percent to 6 percent target range for a second month as a slowdown in food prices was enough to offset higher transport cost.

On a monthly basis, consumer prices increased 0.2 percent after being flat in the previous month. 

The food and non-alcoholic beverages index increased by 0.2 percent between September 2014 and October 2014. The annual rate decreased to 7.8 percent in October 2014 from 8.5 percent in September. The following components in the food and non-alcoholic beverages index increased: fruit (1.9 percent), other food (1.5 percent), meat (0.9 percent) and cold beverages (0.7 percent). The following components decreased: oils and fats (-1.1 percent), hot beverages (-1.0 percent), vegetables (-0.8 percent), fish (-0.5 percent), bread and cereals (-0.3 percent), sugar, sweets and desserts (-0.2 percent) and milk, eggs and cheese (-0.1 percent). 

The alcoholic beverages index increased by 1.9 percent between September 2014 and October 2014. The annual rate increased to 6.3 percent in October from 5.3 percent in September 2014. 

The transport index increased by 0.3 percent on a monthly basis. The annual rate increased to 4.8 percent in October from 4.2 percent in the previous month. 

Northern Cape (5.8 percent), Gauteng (5.8 percent), Eastern Cape (5.7 percent), Mpumalanga (5.6 percent) and Free State (5.5 percent) recorded lower inflation rates. The provinces with an annual inflation rate higher than headline inflation were Limpopo (6.3 percent), KwaZulu-Natal (6.2 percent), North West (6.1 percent) and Western Cape (6.0 percent).

The core inflation rate, which excludes food, non-alcoholic beverages, gasoline and electricity costs, rose to 5.7 percent in October from 5.6 percent in the previous month.

South Africa Inflation Steady at 5.9%


Statistics South Africa | Joana Taborda | joana.taborda@tradingeconomics.com
11/19/2014 10:38:56 AM