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CPI figure hits nine-month low

On a month-on-month basis prices also dropped 0.1% after a 0.8% increase in June.

A shopping cart. Picture: Free Images.

JOHANNESBURG - Statistics South Africa (Stats SA) says the price of goods on the shop shelves slowed to 5.9% in the year to August, down slightly from 6% year-on-year in July.

It's the lowest figure released by Stats SA in nine months.

On a month-on-month basis prices also dropped 0.1% after a 0.8% increase in June.

Core inflation which excludes the prices of food, non-alcoholic beverages, petrol and energy remains unchanged at 5.7% year-on-year but slowed to 0.2% month-on-month from 0.6%.

Investment Solutions' chief economist Lesiba Mothata says: "For the consumer, I think there will be relief in terms of an outlook of high interest rates. From moderation in terms of price pressures at the stores, it's likely to be coming through."