https://newsletter.en.creamermedia.com
Africa|Cutting|Housing|Reinforcing|transport
Africa|Cutting|Housing|Reinforcing|transport
africa|cutting|housing|reinforcing|transport

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

  

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.

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.

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.

Edited by Reuters

Comments

Research Reports

Showroom

Showroom image
Alcohol Breathalysers

Supplier & Distributor of the Widest Range of Accurate & Easy-to-Use Alcohol Breathalysers

VISIT SHOWROOM 
Rentech
Rentech

Rentech provides renewable energy products and services to the local and selected African markets. Supplying inverters, lithium and lead-acid...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:6.592 6.686s - 191pq - 2rq
Subscribe Now