S.Africa’s annual inflation rate drops to 5.9% - CNBC Africa

S.Africa’s annual inflation rate drops to 5.9%

Southern Africa

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S.Africa’s annual inflation rate drops to 5.9%. PHOTOS: Getty Images

This is the first month since February that the rate is below the ceiling of the South African Reserve Bank’s target.

“The 0.5 per cent drop in the rate was largely because of a 67 cents per litre drop in the petrol price. This is equivalent to a decrease of almost 5 per cent,” said Statistics South Africa in a statement.

The inland price of 93 unleaded is now only 14 cents more than it was in September 2013.

(READ MORE: S.Africa's consumer inflation edges up by 0.1% in August )

Food prices however remain unchanged on average in September compared to August, bringing the annual rate down from 9.4 per cent to 8.5 per cent.

The meat index dropped from one percent in August to -0.2 per cent while the price of super maize declined by -1.3 per cent over the month, it has increased by only three per sent since September last year.