Share

Inflation rises slightly to 5.1% in October - Stats SA

StatsSA announced on Wednesday that annual consumer price inflation had come in at 5.1% for October, 0.2 percentage points higher than the 4.9% for September.

On average, prices increased by 0.5% between September 2018 and October 2018.

The figure was in line with analysts' expectations. 

Ahead of the announcement, NKC African Economics had forecast that annual CPI would be 5.2% in October, noting the main driver would be last month's hefty fuel price increases.

TreasuryOne, in a note to clients following the announcement, said the inflation figure meant there was a possibility of an interest rate hike on Thursday, as "inflation is creeping towards the upper end of the inflation band". 

The SA Reserve Bank's monetary policy committee will be announcing its repo rate decision at 15:00 on Thursday. 

The repo rate is the benchmark interest rate at which the bank lends money to other banks. Changes in the repo rate affect the prime lending rate, which is the lowest rate at which banks start lending to clients. 

The International Monetary Fund earlier in the week urged the central bank to keep inflation at its mid-point target goal of 4.5% to preserve price stability and central bank credibility.


* Sign up to Fin24's top news in your inbox: SUBSCRIBE TO FIN24 NEWSLETTER

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.88
+0.3%
Rand - Pound
23.86
+0.2%
Rand - Euro
20.38
+0.3%
Rand - Aus dollar
12.32
+0.1%
Rand - Yen
0.12
+0.2%
Platinum
908.05
0.0%
Palladium
1,014.94
0.0%
Gold
2,232.75
-0.0%
Silver
24.95
-0.1%
Brent Crude
87.00
+1.8%
Top 40
68,346
0.0%
All Share
74,536
0.0%
Resource 10
57,251
0.0%
Industrial 25
103,936
0.0%
Financial 15
16,502
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders