JOHANNESBURG - Consumer prices in South Africa hit a 30-month high in May compared to the same month last year, driven up by transport, food and non-alcoholic beverages.
Statistics South Africa (StatsSA) today said the consumer price inflation (CPI) rate climbed to 5.2 percent in May year-on-year, from 4.4 percent in April.
This inflation print was the highest inflation rate since November 2018.
This was in line with market expectations and above the 4.5 percent midpoint of the SA Reserve Bank’s monetary policy target range of 3-6 percent.
StatsSA said transport prices increased by 15.3 percent.
Food and drink prices also increased markedly over the last year, as the food and non-alcoholic beverages category increased by 6.7 percent year-on-year.
Canola oil recorded a sharp increase with an annual rise of 30.3 percent in May.
Tomatoes went up by 29.4 percent, dried beans climbed by 27 percent, salad dressing and beef offal also rose by 18.4 percent and 17.6 percent, respectively.
StatsSA said the 5.2 percent annual change in May comes from a lower base recorded in May 2020 when fuel prices were low.
“Despite a small monthly drop in the fuel price in May, the annual increase quickened to 37.4 percent from 21.4 percent in April,” it said.
“Petrol prices were 41.8 percent higher in May compared with the same month in the previous year.
“Annual food and non-alcoholic beverages inflation accelerated to 6.7 percent from 6.3 percent in April. May’s reading is the highest since July 2017.”
On a month-to-month basis, StatsSA said the CPI increased by 0.1 percent in May.
BUSINESS REPORT ONLINE