South African inflation dips to 5.9% : official data

22nd October 2014, Comments 0 comments

South African inflation slowed to 5.9 percent last month from 6.4 percent in August, falling to within the central bank's target range, official data showed on Wednesday.

Statistics South Africa said its September consumer price index fell by half a percentage point from the previous month, thanks in part to lower petrol prices.

The South African Reserve Bank tries to keep inflation within a three to six percent band and has recently raised interest rates to curb inflation.

The data came just hours before the new Finance Minister Nhlanhla Nene delivers his maiden budget speech on Wednesday.

He is expected to revise the country's growth projections downward.

South Africa, the continent's most developed economy, is teetering on the brink of a recession.

© 2014 AFP

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