FX.co ★ South Africa Inflation Rate Below Forecasts at 4.4%

The annual inflation rate edged up to 4.4% in August 2026 from 4.3% in July, coming in slightly below the forecast of 4.5%. Transportation remained the main driver of upward pressure, with prices rising 8.8% year-on-year following an 8.9% increase in July. Between July and August, petrol prices fell by 2.0%, while diesel prices rose by 3.1%. At the same time, food inflation accelerated for the first time in nine months, climbing to 1.1% from 0.9%. Meanwhile, core inflation—which excludes food, non-alcoholic beverages, fuel, and energy—slowed to 4.1% from July’s two-year high of 4.2%, coming in just below expectations of 4.2%. On a monthly basis, the CPI was unchanged in August, after a 0.2% rise in the previous month.