Inflation surprised on the upside in March, rising by 1%. Stats SA has released the latest data which shows that annual consumer price inflation was 7.1% in March, up from 7.0% in February 2023.
This is higher than analyst forecasts who expected the number to begin retreating back to at least 6.9%.
The main upward pressure came from prices of food and non-alcoholic beverages; housing and utilities; transport; and miscellaneous goods and services.
Food and non-alcoholic beverages increased by 14.0% annually and contributed 2.4 percentage points to the total CPI annual rate of 7,1%.
“Inflation for food & non-alcoholic beverages increased by 14,0% in the 12 months to March, with milk, eggs & cheese, sugar, sweets & desserts, fruit and vegetables, and other food products experiencing upward pressure. Bread & cereals, meat, oils & fats, and fish recorded slower growth,” Stats SA indicates.
Housing and utilities followed and increased by 4.0% year-on-year.
Transport inflation also went by 8.9% year-on-year while miscellaneous goods and services increased by 5.9% year-on-year.
However, the annual inflation rate for both goods and services was down.
