Consumer Inflation eases to 4.6% in July
Headline consumer inflation eased to 4.6% in July, Statistics South Africa announced on Wednesday.
This is down from the 5.1% recorded in June.
July's reading is the lowest since July 2021, when the rate was also 4.6%.
Lower annual rates were recorded for several product groups, most notably food and non-alcoholic beverages, transport, housing and utilities.
Patrick Kelly, Chief Director for Price Statistics, says food inflation is at its lowest level since September 2020.
"The annual rate for food and non-alcoholic beverages was 4.5% in July, which is down from 4.6% in June, and continuing the slowing inflation trend since its most recent high of 9%, which was in November 23.
“While overall food inflation has slowed, the bread and cereals category is showing upward momentum.”
The latest inflation figures strengthen the case for an interest rate cut in September.
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