JOHANNESBURG, July 22 (Reuters) – South Africa’s headline consumer inflation accelerated faster than expected to 5.0% year on year in June from 4.5% in May, data from the statistics agency showed on Wednesday.
In month-on-month terms inflation was at 0.7% in June, the same rate as in May.
Economists polled by Reuters had expected annual inflation would accelerate to 4.7%, driven by price pressures stemming from the U.S.-Israel war against Iran.
South Africa imports the majority of its fuel, making it sensitive to the surge in global energy costs since the war started in late February.
The South African Reserve Bank aims to keep inflation at 3% and is scheduled to announce an interest rate decision on Thursday.
(Reporting by Anathi Madubela;Editing by Alexander Winning)
Comments