South Africa: Inflation slows to seven-month low in April
May 24, 2017
In April, consumer prices in South Africa inched up 0.1% from the previous month, which was down from the 0.6% increase in March and the lowest print in four months. April’s monthly increase in prices is the result of a slightly faster increase in prices for clothing and footwear and health.
Inflation moderated for the fourth consecutive month in April, decreasing from 6.1% in March to 5.4%. The result was slightly below the 5.6% the markets expected and marked a seven-month low. Inflation in April came within the Central Bank target range of 3.0%-6.0% for the first time in eight months. Annual average inflation inched down to 6.2% from 6.3% in March.
Core consumer prices—which exclude food, non-alcoholic beverages, energy and gasoline—rose 0.2% in April from the previous month, down from 0.7% in March. Core inflation inched down from 4.9% in March to 4.8% in April, the lowest level in over four years.
Author: Jan Lammersen, Economist