The headline inflation rate decreased to 4,3% in July from 5,0% in June, for the first time in five months.
The monthly increase in the consumer price index (CPI) was 0,2%, down from 0,7% in June.
Patrick Kelly, Chief Director, at Statistics South Africa (StatsSA), said the slowdown was caused by three main factors, including softer inflation for food and non-alcoholic beverages (NAB); lower municipal tariff increases and a decline in fuel prices.
“The annual rate for food and NAB declined to 0,9% in July. This is the lowest print for food and NAB in more than 16 years, since June 2010 when it was 0,7%. Incidentally, that was the month when South Africa hosted the FIFA World Cup.
The lower rate for food and NAB in July 2026, was mainly due to cereal products and meat. Cereal products recorded an annual change of -2,0%, down from -1,5% in June. Several products recorded softer monthly rates, most notably maize meal (-3,1%), macaroni (-0,7%) and white bread (-0,6%).”
Of the 144 food and beverage products in the CPI basket, Kelly said several fish products recorded sharp monthly increases, including battered or crumbed fish portions (+3,5%); fish fingers (+2,3%); hake (+2,1%); and canned fish (excluding tuna) (+2,0%).
Picture: Labour Research Service