In a significant shift in consumer price dynamics, South Africa’s Consumer Price Index (CPI) growth decelerated sharply to 0.3% in April 2024, down from 0.8% in March 2024. This figure was officially released on 22 May 2024. The CPI measures the monthly inflation rate and indicates the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services.
The current 0.3% increase in the CPI reflects a much slower rate of inflation month-over-month compared to the previous period's 0.8%. This slowdown comes as a comparison between the month of April and March, with the previous indicator representing the change from February to March.
Economists are observing these shifts closely as the lower than expected CPI growth can have significant implications for monetary policy and economic planning. With the South African Reserve Bank already navigating a complex economic environment, April’s inflation numbers could potentially prompt a reassessment of interest rates and other fiscal measures to ensure economic stability.
