South African inflation steady as central bank pushes for lower target

South Africa’s inflation rate was steady in May, staying below the central bank’s 3% to 6% target range as it pushes for the target to be lowered.

Headline consumer inflation stood at 2.8% year-on-year last month, unchanged from April (ZACPIY=ECI), opens new tab and in line with the median forecast of economists polled by Reuters.

The South African Reserve Bank (SARB), which has cut interest rates at four of its last five policy meetings, stressed its preference for a lower target at its last meeting.

Source: Reuters