{"id":599092,"date":"2022-06-22T10:15:32","date_gmt":"2022-06-22T08:15:32","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=599092"},"modified":"2022-06-22T10:15:32","modified_gmt":"2022-06-22T08:15:32","slug":"inflation-hits-5-year-high-in-south-africa-heres-what-is-more-expensive","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/finance\/599092\/inflation-hits-5-year-high-in-south-africa-heres-what-is-more-expensive\/","title":{"rendered":"Inflation hits 5-year high in South Africa – here’s what is more expensive"},"content":{"rendered":"

Statistics South Africa has published its latest consumer price index, showing that annual consumer price inflation has broken through the upper limit of the Reserve Bank’s target range.<\/p>\n

Inflation was recorded at 6.5% in May 2022, up from 5.9% in April 2022.<\/p>\n

This is the highest reading since January 2017 when the rate was 6.6%, with inflation now higher than the upper limit of the South African Reserve Bank\u2019s monetary policy target range of 6%, pointing to further interest rate hikes in July.<\/p>\n

Transport and food and non-alcoholic beverages (NAB) accounted for just over half of the annual rate, with sharp price increases recorded in both categories. Fuel, in particular, continues to be a major contributor: if the impact of fuel is removed from the CPI reading in May, the headline rate falls to 5.1% from 6.5%.<\/p>\n

Diesel prices jumped by 8.1% between April and May, taking the annual rate to over 45%. The average price of a litre of diesel in May 2021 was R16.20 \u2013 meaning it costs R729 to fill a 45-litre tank. Twelve months later, with the average price at R23.67 per litre, filling the same tank cost R1,065.<\/p>\n

Petrol prices moderated between April and May, edging lower by 0.7%. Despite this decline, petrol is almost 27% more expensive than it was in May 2021.<\/p>\n

Some of the largest annual price increases (May 2021 vs May 2022) were recorded for the following goods and services:<\/p>\n