South Africa’s annual inflation rate inched up to 3.1% in March 2026 from 3.0% in February, in line with market expectations. At that point, the impact of the Middle East conflict was only beginning to filter through to domestic prices.
The main upward contributors were housing and utilities (5.1% vs. 4.8% in February), food and non-alcoholic beverages (3.6% vs. 3.7%) and insurance and financial services (4.6% vs. 4.5%). Meanwhile, transport prices continued to decline, but at a slower pace (-1.6% vs. -2.1%).
Core inflation, which excludes food, non-alcoholic beverages, fuel and energy, accelerated to 3.2% from 3.0% in February, when it had reached a seven-month low. On a monthly basis, the consumer price index rose by 0.6%, following a 0.4% increase in the previous month.
