UASA Media Release: 24 January 2024
Statement by Abigail Moyo, spokesperson of the trade union UASA:
UASA is pleased that amid the turmoil of high inflation rates spiking right up to the 6.0% target band of the SA Reserve Bank (SARB) in 2023, the inflation rate somehow eased at the end of the year.
As reported by Stats SA this morning, annual consumer price inflation (CPI) eased to 5.1% in December last year, down from the 5.5% in November and 5,9 in October.
The petrol price cuts in December 2023 and January 2024 have eased inflationary pressure from the CPI basket’s transport component, among other factors. Due to significant decreases in the CPI, the SARB Monetary Policy Committee (MPC) is expected to leave the repo rate unchanged at 8.25% tomorrow at its first meeting of the year.
The main contributors to the 5,1% annual inflation rate were food and non-alcoholic beverages, housing and utilities, miscellaneous goods and services and transport.
Average annual consumer price inflation was 6,0% in 2023. This was 0,9% lower than the corresponding average of 6,9% in 2022. UASA welcomes the SARB’s determination to see CPI reach 4.5% as the mid-point of the inflation target range this year.
Among other economic challenges, consumer inflation remains a considerable contributor to financial pressure on consumers plagued by the high cost of living.
UASA encourages policymakers and stakeholders to consider consumers and align their standards with the SARB to ensure relief and continuous ease in inflation and interest rates are a reality for consumers and workers in 2024.
For further enquiries or to set up a personal interview, contact Abigail Moyo at 065 170 0162 .