South Africa’s annual consumer inflation has climbed to its highest level in two years, rising to 5.0% in June 2026 from 4.5% in May, according to the latest data released by Statistics South Africa. The increase marks the highest inflation rate since June 2024, when inflation stood at 5.1%, while consumer prices rose by 0.7% between May and June.
Transport was the biggest driver behind the increase in inflation, with rising fuel prices placing additional pressure on household budgets.
Statistics South Africa’s Chief Director for Price Statistics, Patrick Kelly, said, “Transport was the largest contributor to both annual and monthly changes in the CPI. This was mainly underpinned by higher fuel prices. Its annual rate accelerated to 12.7% in June from 9.4% in May. Fuel prices climbed by 34.3% in the past 12 months, driven by increases of 50.8% in diesel and 31.7% in petrol. Higher fuel prices have had a knock-on effect on passenger transport inflation, which registered a monthly rise of 8.1% in June.”
Despite the overall increase in inflation, food price pressures eased during the month. Food inflation slowed to 1.4% in June, down from 1.9% in May, providing some relief to consumers.
Kelly said, “Cereal products recorded a fifth consecutive month of deflation at -1.5%. Some items that are cheaper than a year ago are white rice, lower by 13.4%, maize meal less by 5.9% and porridge, down by 1.3%.”
The latest inflation figures indicate that while food prices have become more stable, rising transport and fuel costs continue to push up the overall cost of living, placing renewed pressure on South African households and businesses.
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