IMPROVING LIVES THROUGH DATA ECOSYSTEMS

The annual inflation rate slowed to 6,3% in July from the 6,6% registered in the preceding two months. Most municipalities introduce new tariffs in July each year resulting in housing and utilities contributing 0,5 of the 0,8% monthly increase in the CPI. Electricity tariffs increased 7,0%, slightly lower than the maximum 7,4% stipulated by NERSA, the energy regulator.  Water and assessment rates, which are not regulated, increased more – at 9,2% and 7,2% respectively.

The petrol price increased by a moderate 29c/l (2,2%m/m) in July bringing the annual increase in petrol down to 8,3% from the short term peak of 14,3% just two months ago.  Last July the annual increase in the petrol price was a massive 22,6%.

Food inflation appears to be moderating as prices drop from last month in the bread and cereals (-1%), meat (-0,3%) and fats and oils (-1,4%) categories.  The drops are largely as a result of improved harvests of grains (maize and wheat) and oil bearing plants (sunflowers).  Maize forms a large part of the feed for cattle and chickens.

Cigarettes showed a 3,7% monthly spike bringing the annual increase for tobacco products to 7,2%.  The increase appears to be a late implementation of increases in excise taxes related to the introduction of new stock.

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