Statistics South Africa released its latest Consumer Price index earlier this week. It reveals that the annual consumer price inflation has remained above the upper limit of the Reserve Bank’s target range for a lengthy fourth-month period.
The data showed the country’s inflation rate has dropped by 0,2 per cent as compared to the data statistics shown in August when the inflation rate was at 7.6% compared to 7.8% in July –making June and July the highest inflation rate since May 2009.
Also read: This is what consumers will pay for a basic food basket in South Africa
The main contributors to the 7.6% annual inflation rate were food and non-alcoholic beverages, housing and transport among others.
According to Statistics SA, the Chief Director for Price statistics, Patrick Kelly says the changes to this drop can be credited to the drop in fuel prices. However, food prices continue to increase.
“Fuel prices decreased by 3.8% between July and August with petrol falling by 5% and diesel 0.9%.”
In contrast to fuel, the annual food inflation continues to rise up to a significantly 6% alone this year, since April and has remained above the 5% mark since October 2020.
Other big food contributors to food inflation are oils and fats, bread, and cereals showing an increase to 37.6% from 36.2% in July. But not forgetting vegetables, sweets, beverages, and both processed and unprocessed foods as they also show to be more expensive.
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The annual consumer price inflation rises high as compared to previous month
Picture: Cape town Etc {Gallery}
