Don’t Be Spooked by South Africa Core Inflation Surge, Absa Says
- Sees annual core CPI at 5.2% in February from 4.9% in January
- Surge likely to be driven by medical health insurance prices
This article is for subscribers only.
South Africa’s core inflation rate probably increased at the fastest pace in six years in February, spurred by a sharp rise in health-insurance premiums, Absa Group Ltd. said.
The core consumer price index, which excludes the effects of volatile items including food and energy, likely rose an annual 5.2% last month from 4.9% in January, Absa economists led by Miyelani Maluleke said in a research note. That would be the highest rate since February 2017. Overall inflation probably quickened to 7% from 6.9%, they said.