On a monthly basis, consumer price growth increased 1.1%. Annual inflation hit a 14-month high in April, and the riots and looting last month, coupled with rising inflation elsewhere in the world and a steady increase in oil prices, had stoked bets of further rises in consumer prices locally.
At last month’s monetary policy committee meeting, SA Reserve Bank Governor Lesetja Kganyago said the economic impact of the riots had prevented the bank from lifting its economic growth estimates for 2021, but added that inflation was expected to be near or below the middle of the target at least until 2023. Wednesday’s figure may give the bank the room it needs to keep supporting the recovery.Overall, inflationary pressures continue to moderate downwards as expected, as base effects dissipate.
The bank next decides on lending rates in mid-September, about a month before new Finance Minister Enoch Godongwana is due to deliver his maiden medium-term budget policy statement after he was appointed by President Cyril Ramaphosa during last month’s Cabinet reshuffle.
We are going to vote for the EFF and insource workers and nationalise strategic sectors of the economy and expropriate the land without compensation. No white fragility victimist mentality and it's propaganda is going to stop the EFF. Socialism is our last hope.