22/10/2025
UASA Media Release: 22 October 2025
CPI remains above 3% target range, driven by meat and housing prices
Statement by Abigail Moyo, spokesperson of the trade union UASA:
Stats SA reported this morning that the annual consumer inflation (CPI) slightly increased to 3.4% in September, up from 3.3% in August, and remained above the South African Reserve Bank’s target range of 3%. The month-on-month change in the consumer price index (CPI) was 0.2%.
For workers, this means that they saw meat and housing prices soar, while milk, eggs and white rice were cheaper than a year ago.
Inflation accelerated in several product categories, particularly in transportation and restaurants & accommodation, while food and non-alcoholic beverages (NAB) presented mixed results. Inflation for meat and maize meal remained high, while prices for items such as milk, eggs, and white rice saw decreases for the fourth consecutive month.
Meat inflation reached 11.7%, the highest annual rate since January 2018, when it was at 13.4%. Price levels remain elevated, with, for instance, stewing beef recording an annual rise of 32.2%, with no monthly change. The annual rates for pork and lamb accelerated significantly, and chicken inflation is rising as well, albeit at a slower pace.
Inflation for NAB eased to 4.1%, down from 4.9%. In September 2024, the rate was 9.5%. Inflation for hot beverages moderated slightly to 9.0% from 10.0% in August, significantly lower than the 15.8% recorded a year ago. The NAB category saw the highest rates for products such as coffee (12.2%), fizzy drinks in cans (7.8%), and black tea (7.1%).
Economists agreed that the September figures will probably mean a reduced chance of an interest rate cut in November.
However, while the inflation rate remains above the SARB’s target range of 3%, UASA is hopeful that the MPC will consider the favourable trends in GDP, the inflation rate, and decreasing fuel prices, all of which benefit consumer spending, when evaluating a potential interest rate cut.
For further enquiries or to set up a personal interview, contact Abigail Moyo at 065 170 0162.