Annual consumer price inflation jumped to 5 per cent in June, up from 4,5 per cent in May 2026.

Transport was the largest contributor, due to higher fuel prices driven by higher oil prices.

The price of petrol increased by R1.43 cents per litre in June, while diesel went up by between R2,62 and R3,25 per litre depending on grade.

Other high contributors to the annual inflation rate were housing and utilities and insurance and financial services

Inflation on a month-on -month basis rose by 0.7 per cent between May and June.

Statistics South Africa’s Chief Director for Price Statistics, Patrick Kelly, says, “Transport was the largest contributor to both annual and monthly changes in the CPI. This was mainly underpinned by higher fuel prices. Its annual rate accelerated to 12.7% in June from 9.4% in May. Fuel prices climbed by 34.3 % in the past 12 months, driven by increases of 50.8% in diesel and 31.7% in petrol. Higher fuel prices have had a knock-on effect on passenger transport inflation, which registered a monthly rise of 8.1% in June.”

Stats SA data shows food inflation slowed in the month, dipping to 1.4% in June from 1.9% in May.

Kelly says, “Cereal products recorded a fifth consecutive month of deflation at -15%. Some items that are cheaper than a year ago are white rice, lower by 13.4%, maize meal less by 5.9% and porridge, down by 1.3%”.

He says meat inflation also continued a downward trend.

Higher consumer inflation raises chances of another interest rate hike by the Reserve Bank.

At 5%, inflation is way above the central bank’s target of 3%