S Africas inflation reaches 5.0pc

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S Africas inflation reaches 5.0pc

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The inflation rate is now within the 3.0- to 6.0-percent.

20 September,2012 11:45 am

Inflation in South Africa reached 5.0 percent on an annual basis in August, slightly up from 4.9 percent in July, the national statistics office said Wednesday.Consumer prices were up 0.2 percent from a month ago, driven up mainly by higher drink, clothing and transport prices.The inflation rate is now within the 3.0- to 6.0-percent target bracket fixed by the South African central bank, after having surpassed it between October and April.The South African central bank is due to issue its interest rate decision on Thursday. It has forecast that inflation will remain stable at around 5.0 percent until the end of 2014.The central bank cut its key lending rate by 0.5 point to 5.0 percent in July.Inflation in Africas biggest economy reached 5.0 percent in 2011, up from 4.3 percent in 2010