Higher inflation dampens spirits as taxes take a toll
South Africa’s consumer inflation rate jumped to 4,5% in April after reaching a seven-year low of 3,8% in March. Much of the increase was a result of price rises in product groups that attract specific taxes, namely alcohol, fuel and sugary drinks. A one percentage point increase in value added tax (VAT) also came into read more »
The new inflation basket: what’s in and what’s out
Stats SA recently announced changes to the Consumer Price Index (CPI) basket of goods and services. The changes provide interesting insight into how consumer spending patterns have shifted over the last four years. The basket forms the basis from which the monthly CPI is calculated. There are 412 products and services in the new basket, read more »
South Africa’s CPI reveals how volatile inflation hurts the poorest
Patrick Kelly, Executive Manager for Price Statistics, provides some insights into how inflation affects the most vulnerable. The combined effect of the severe drought and the depreciation of the rand drove annual food inflation to 9,8% in March, its highest level in four years. Periods of high food inflation often spark an outpouring of concern read more »
Drink and diesel: The Budget Speech and consumer inflation
If you drive a car or enjoy a regular glass of wine, February’s National Budget Speech would have had an impact on your cost of living. The rise in sin taxes and petrol levies announced during the speech influenced prices for alcoholic beverages and petrol, contributing to April’s overall inflation rate of 4,5%. The Minister read more »
Education costs continue to outstrip inflation
It is often said that an investment in knowledge pays the best interest. A good education is worth its weight in gold, but recent figures released by Stats SA indicate that South African households will have to make more room in their budgets to pay for rising tuition fees. Stats SA updates education inflation figures read more »
Producer inflation continues to fall
Headline producer inflation, which measures the change in prices of final manufactured goods, has continued to decline. The annual rate fell to 3,5% in January 2015, down from 5,8% in December 2014 and a peak of 8,8% in April 2014. Falling prices for coal and petroleum products continued to drive producer inflation down, while higher read more »
Producer inflation dips below 6% in December
Sharp decreases in the prices of manufactured petroleum products drove producer inflation down, from 6,5% year-on-year in November to 5,8% in December. However, there were noticeable increases in year-on-year prices for meat, tobacco and dairy products. Stats SA’s latest Producer Price Index publication, released on Thursday, 29 January 2015, shows that prices for final manufactured read more »
CPI inflation slows in December
Annual CPI inflation dropped to 5,3% in December 2014 from 5,8% in November 2014. Petrol and food prices, which are key drivers of changes in the CPI, both showed lower annual inflation rates. Food inflation continued its slowing trend with a 7,4% annual rate compared to 7,7% in November 2014. The main drivers of the read more »
CPI inflation drops to 5,8%
Annual CPI inflation dropped to 5,8% in November 2014 from 5,9% in October. Petrol and food prices, which are key drivers of changes in the CPI both showed lower annual inflation rates. Food inflation continued its slowing trend with a 7,7% annual rate compared to 8% in October. The main drivers of the steadily declining read more »
Boozy inflation steady on its feet
The headline inflation rate was steady at 5,9% in October 2014. A 2,6% monthly increase in the price of beer was the main driver of the 0,2% change in the headline CPI between September and October. For the first time, consumers now pay an average of R50 for a six pack of 340ml cans of locally made beer. Wine read more »