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South Africa's inflation steady at 3.2 pct for second month

0 Comment(s)Print E-mail Xinhua, March 19, 2025
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JOHANNESBURG, March 19 (Xinhua) -- South Africa's annual inflation rate remained at 3.2 percent in February, unchanged from January, according to data released by Statistics South Africa (Stats SA) on Wednesday.

This marked the fourth month in a row that inflation has stayed above the four-and-a-half-year low of 2.8 percent recorded in October, said Lekau Ranoto, Stats SA's CPI operations director.

"The monthly change in the consumer price index (CPI) was 0.9 percent in February," she said.

Ranoto said that recreation, sport and culture, food and non-alcoholic beverages, alcoholic beverages and tobacco, and communication recorded higher annual inflation rates in February.

However, inflation eased for several product categories, including personal care and miscellaneous services, health, restaurants and accommodation, furnishings, household equipment, routine maintenance, and transport.

"The annual rate for food and NAB (non-alcoholic beverages) accelerated to a four-month peak in February, rising to 2.8 percent from 2.3 percent in January," she said.

With the South African Reserve Bank holding meetings this week and set to announce the repurchase rate on Thursday, Dawie Roodt, chief economist of the Efficient Group, a financial services business in South Africa, said he expects another 25 basis-point cut.

"I see another cut tomorrow and then after. They might hold for several meetings," Roost told Xinhua.

At the last meeting in January, the central bank expressed concerns about the "uncertainties" brought by geopolitical tensions and trade wars.

Meanwhile, Ranoto noted that Stats SA's survey showed increases in medical insurance and health services in February. Medical aid premiums rose by 10.5 percent in 2025, up from 10.3 percent the previous year. General practitioners' fees increased by 6.6 percent, while dentist prices went up by 5.2 percent.

Fuel prices climbed by 3.9 percent between January and February, bringing the annual rate to -3.6 percent, up from -4.5 percent in January. Enditem

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