https://www.polity.org.za
Deepening Democracy through Access to Information
Home / News / South African News RSS ← Back
Africa|Cutting|Housing|Reinforcing|transport
Africa|Cutting|Housing|Reinforcing|transport
africa|cutting|housing|reinforcing|transport
Close

Email this article

separate emails by commas, maximum limit of 4 addresses

Sponsored by

Close

Article Enquiry

South African inflation falls more than expected, sets stage for rate cut

Close

Embed Video

South African inflation falls more than expected, sets stage for rate cut

A customer walking in a grocery store aisle
Photo by Bloomberg

18th September 2024

By: Reuters

SAVE THIS ARTICLE      EMAIL THIS ARTICLE

Font size: -+

South Africa's inflation rate fell more than expected last month to its lowest since April 2021, data showed on Wednesday, reinforcing expectations that the central bank will cut interest rates this week.

Headline consumer inflation fell to 4.4% year-on-year from 4.6% in July, just below the 4.5% midpoint of the South African Reserve Bank's target range where it likes to see inflation.

Advertisement

The median forecast of analysts polled by Reuters was for a reading of 4.5%.

"The table is laid for the interest rate cutting cycle to commence," said independent economist Elize Kruger.

Advertisement

Easing price pressures from transport, housing, restaurants and hotels contributed to August's lower inflation print, data from Statistics South Africa showed.

However food inflation ticked up to 4.7% in annual terms from 4.5% in July, reversing an eight-month downward trend.

The figures hardened expectations that the central bank will cut interest rates on Thursday for the first time in more than four years.

Even before August's inflation figures were released, economists polled by Reuters were predicting the central bank would cut its main lending rate by 25 basis points.

EMAIL THIS ARTICLE      SAVE THIS ARTICLE

To subscribe email subscriptions@creamermedia.co.za or click here
To advertise email advertising@creamermedia.co.za or click here

Comment Guidelines

About

Polity.org.za is a product of Creamer Media.
www.creamermedia.co.za

Other Creamer Media Products include:
Engineering News
Mining Weekly
Research Channel Africa

Read more

Subscriptions

We offer a variety of subscriptions to our Magazine, Website, PDF Reports and our photo library.

Subscriptions are available via the Creamer Media Store.

View store

Advertise

Advertising on Polity.org.za is an effective way to build and consolidate a company's profile among clients and prospective clients. Email advertising@creamermedia.co.za

View options

Email Registration Success

Thank you, you have successfully subscribed to one or more of Creamer Media’s email newsletters. You should start receiving the email newsletters in due course.

Our email newsletters may land in your junk or spam folder. To prevent this, kindly add newsletters@creamermedia.co.za to your address book or safe sender list. If you experience any issues with the receipt of our email newsletters, please email subscriptions@creamermedia.co.za