UASA Media Release: 21 May 2025
Statement by Abigail Moyo, spokesperson of the trade union UASA:
Consumer Price Index (CPI) figures for April showed an unexpected increase, rising by one percentage point to 2.8% from March’s 2.7%. This was a disappointment for workers who had anticipated a decrease in the CPI.
According to Statistics South Africa, the CPI remaining below the South African Reserve Bank’s target range of 3%- 6% is positive news for consumers, as it allows them to have greater purchasing power with their disposable income. If the inflation rate stays within this favourable range, the upcoming Monetary Policy Committee meeting could result in some beneficial decisions for consumers.
Today holds significance, with Finance Minister Enoch Godongwana re-tabling the national budget in Parliament and President Cyril Ramaphosa meeting with U.S. President Donald Trump at the White House. There is hope that the rand’s performance and the markets will respond positively to the new budget and the outcome of the president’s discussions with Trump.
The monthly change in inflation between March and April was 0.3%. The increase in CPI was primarily driven by rising costs in housing and utilities, food and non-alcoholic beverages, alcoholic beverages and tobacco, and expenses related to restaurants and accommodation services.
Looking ahead, we hope the upcoming fuel price adjustment in June will benefit consumers and businesses relying on fuel for daily operations. Average fuel prices have declined by 3.2% from March to April, meaning motorists are paying 13.4% less for fuel than a year ago.
While the current economic outlook may not be ideal, it remains favourable for consumers, and we hope they will continue to experience financial relief in the future.
For further enquiries or to set up a personal interview, contact Abigail Moyo at 065 170 0162.