Business
Inflation hits highest level for year─── 11:43 Wed, 20 Jan 2016
Cape Town - South Africa's annual consumer price inflation increased to 5.2% in December 2015, in line with expectations and 4 percentage points higher than November's 4.8% rise.
It was the highest rate for the year as consumers battle with higher food and fuel prices, as well as interest increases.
On average, prices rose by 0.3% between November 2015 and December 2015, Statistics SA announced on Wednesday.
In December the CPI for goods increased by 5.3% year-on-year (3.8% in November), and the CPI for services increased by 5.7% year-on-year (5.7% in November).
The rand held steady at around R16.83/$ from R16.88 before the data's release.
The SA Reserve Bank (SARB) increased the repo rate by 25 basis points at its last monetary policy committee meeting, citing inflationary pressures as a reason for hiking interest rates. South Africa has seen a total increase of 125 basis points in interest rates since the SARB started its tightening cycle 23 months ago.
Inflation is, however, still under control and within the SARB's targeting range of 3% - 6%.
- News24.com
