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CPI slows to 4.5% from 5.2%

Statistics South Africa released the data on Wednesday.

Picture: Pixabay.com

JOHANNESBURG - South Africa's headline consumer inflation slowed to 4.5% year on year in December from 5.2% in the previous month, in line with expectations of economists polled by Reuters, data from Statistics South Africa showed on Wednesday.

On a month-on-month basis, prices fell 0.2% in December from an increase of 0.2% in the previous month.

Core inflation, which excludes the prices of food, non-alcoholic beverages, petrol and energy, was unchanged at 4.4% year on year in December from 4.4% in November.

On a month-on-month basis, core inflation was at 0.3% in December from 0.2% in November.

Stats SA’s Patrick Kelly says, “This month’s drop is mainly the results of 8% drop in fuel price, combined with moderate food inflation which was unchanged in a month and slightly down to 3% on an annual basis.”

Additional reporting by Mashud Masutha.