South African Inflation Rate Climbs to 18 Month-High in November
(Bloomberg) -- South Africa’s inflation rate jumped to the highest level since May last year as surging transport costs continue to weigh on the economy.
Consumer prices rose 5.2 percent from a year earlier compared with 5.1 percent in October, Pretoria-based Statistics South Africa said in a statement Wednesday. The median estimate of 17 economists surveyed by Bloomberg was for 5.1 percent.
- The unexpected acceleration in inflation may ease criticism of the central bank’s decision to raise interest rates last month as the headline number moves further away from the mid-point of its target range.
- Fuel prices had jumped 19 percent over the past 12 months after the rand weakened against the dollar, offsetting a decline in crude costs.
- The Reserve Bank will decide again on rates on Jan. 17, with forward-rate agreements seeing a small chance of a 25 basis-point hike.
©2018 Bloomberg L.P.