Annual inflation in South Africa rose to 4.5% in September, from 4.4% in August, according to figures published on Wednesday 21 October by Statistics South Africa. The increase remains below the average 4.7% forecast by economists polled by Reuters.
On a monthly basis, the consumer price index rose 0.4%. Transport prices were up 10.8% year on year and contributed 1.5 percentage points to total inflation, compared with 1.2 points in August, making transport the main driver of the acceleration.
Housing and utilities recorded an annual increase of 5.2% and added 1.3 percentage points to the headline rate. Insurance and financial services rose 5.4% and contributed 0.6 points, while food and non-alcoholic beverages rose 1.2%.
Pressure intensified on goods, whose inflation rose from 3.3% to 4.1%, while services inflation slowed from 5.1% to 4.9%. Administered prices rose 13% year on year, compared with 3.3% for the index that excludes them.
The headline rate remains above the 3% target of the South African Reserve Bank, which raised its policy rate to 7.25% in September. Economists polled by Reuters are split on a further rise in November, ahead of the next inflation release scheduled for 18 November.
The regulated petrol price rose by about 5% in September and then by 12% in October, according to Reuters. This second increase is not included in the figures published on Wednesday and could push inflation above 5% in the next reading, according to several economists cited by the agency.