4%. That is today’s Number of the Day.
Gareth Edwards and Francis Herd look at South Africa’s latest inflation increase, after the headline rate moved from 3.1% to 4% in April.
The number is not runaway inflation, but it still matters. Francis explains that South Africa had been sitting at 3%, right on the Reserve Bank’s preferred target, before petrol prices pushed the latest reading higher. Gareth brings it back to ordinary households: inflation matters because it affects what salaries can buy, how stable prices feel, and whether consumers can breathe.
The conversation then turns to interest rates. With inflation ticking up, economists are expecting pressure on the Reserve Bank to act. For South Africans with home loans, vehicle finance or debt, even a small rate hike can start adding up.
There is some good news. Diesel may fall, and food inflation has slowed. But the catch is that fuel relief is being reduced, petrol pressure remains, and transport costs can still move through the economy later.
4%. The number is here. The full impact may still be on the way.
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