BL Premium reports that annual consumer inflation slowed in September mainly as a result of a second consecutive monthly decline in fuel prices.
On Wednesday, Statistics SA reported that headline inflation eased to 7.5% in September from 7.6% in August, improving on the 13-year high of 7.8% recorded in July. Nonetheless, the September reading remained above the upper limit of the SA Reserve Bank’s target range of 3%-6%. Data shows that prices slowed further for transportation due to fuel inflation, which fell from 43.2% year-on-year in August to 34.0% in September. The main contributors to the September inflation rate were food and nonalcoholic beverages, transport, housing and utilities, as well as miscellaneous goods and services. Annual food and non-alcoholic beverage inflation increased to 11.9% from 11.3% in August, with bread and cereal prices up 19.3% from a year before – the biggest increase in 13 years. Inflation is expected to continue to trend lower, driven by lower international oil prices. Encouragingly, global food inflation has also moderated significantly and should eventually translate into lower domestic prices.
- Read the full original of the report in the above regard by Thuletho Zwane at BusinssLive (subscriber access only)
- Read too, Inflation cools slightly to 7.5%, at Engineering News
- En ook, Inflasie gee effe skiet, by Maroela Media
Get other news reports at the SA Labour News home page