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South Africa’s headline consumer inflation slowed more than expected to 6.3% year-on-year in May, from 6.8% in April.
Statistics South Africa said on a month-on-month basis, consumer inflation was at 0.2% in May compared to 0.4% the previous month.
Annual inflation was last lower in April last year, when it was at 5.9%, just within the central bank’s 3 - 6% target range.
Chief Director for Price Statistics at Stats SA, Patrick Kelly said the annual rate for food and non-alcoholic beverages (NAB) was 11.8%, lower than April's print of 13.9%.
"The price index for this category increased by 0.3% between April and May, the lowest monthly reading since November 2021 (0.1%). Most food and NAB categories recorded lower annual inflation rates in May, with the exception of sugar, sweets and desserts, and cold beverages," he said.
Kelly said annual meat inflation slowed to 7.1% from 9.5% in April, with the inflation rate for read & cereals also dropping to 18.1% in May from 20.8% in April.
However, he said the prices of sugar, sweets, and desserts increased by 11.9% in the 12 months to May, up from April’s 10.7%.
"The reading in May is the highest since July 2017 when the rate was 14.5%," Kelly said.
Stats SA said the transport index increased by 7.0% in the 12 months to May which he said was lower than April’s print of 7.6%, but motor vehicle inflation accelerated to 7.5% from 7.2% in April, the highest reading since February 2017 when the rate was 8.1%.
Kelly said the annual rate for fuel decreased further in May, "cooling to 3.5% from 5.0% in April" while health inflation rose to 5.8% in May since January when it was at 4.8%.
