South Africa: Inflation edges up in September
October 19, 2016
In September, consumer prices increased 0.16% from the previous month, which contrasted August’s 0.08% decrease. The previous month’s reading had marked the first month-on-month decrease in over a year. According to Statistics South Africa, September’s result mainly reflected higher prices for food and non-alcoholic beverages.
Inflation edged up from 5.9% in August to 6.1% in September. This brings inflation just above the upper threshold of the Central Bank’s target range of 3.0%–6.0%. Annual average inflation inched up from 5.8% in August to 5.9% in September.
Core consumer prices, which exclude prices for food, fuel and electricity, rose 0.3% over the previous month, which was above the 0.2% increase observed in the previous month. Finally, annual core inflation inched down from August’s 5.8% to 5.7% in September.
Author: Dirina Mançellari, Senior Economist