SA consumer price inflation cools to 3.8% in September

South African consumer price inflation continued to slow down in line with expectations in September, data from Statistics South Africa showed on Wednesday.

SA consumer price inflation cools to 3.8% in September

Consumer price index rose by 3.8% year-on-year in September 2024, cooling from 4.4% in August. In July, it was 4.6%. The main positive contributors to the 3.8% annual inflation rate were housing and utilities; miscellaneous goods and services; food and non-alcoholic beverages; and alcoholic beverages and tobacco. Dealers at TreasuryOne said the latest CPI was expected to rise by 3.8% annually in September. The CPI rose by 0.1% on-month in September, unchanged from the same level in August.

Annual core inflation remains unchanged

Annual core consumer price inflation, which excludes volatile items such as food and fuel, was unchanged at 4.1% in September. Moderate annual CPI could give the South Africa Reserve Bank more room to continue to cut interest rates as consume prices are well below the SARB's midpoint level of 4.5%. The central bank's inflation target is 3% to 6%.