By Mapaballo Borotho

- South Africa’s annual inflation rate increased to 5.0% in June 2026, up from 4.5% in May.
- Transport costs, driven by higher fuel prices, were the biggest contributor to the rise.
- Food inflation slowed further, with several staple products becoming cheaper compared to a year ago.
South Africa’s annual inflation rate has climbed to 5.0%, increasing from the 4.5% which was recorded in May.
This is the highest inflation rate recorded since June 2024, when inflation reached 5.1%.
Prices increased by 0.7% on average between May and June, matching the increase recorded between April and May.
According to Statistics South Africa (Stats SA), transport was the biggest driver behind the increase, mainly due to higher fuel prices.
“The annual rate for transport accelerated to 12.7% in June from 9.4% in May. Fuel prices climbed by 34.3% in the 12 months to June, driven by increases of 50.8% in diesel prices and 31.7% in petrol prices,” said Stats SA.
Food inflation continues to ease
Meanwhile, inflation for food and alcoholic beverages slowed further in June, dropping to 1.6% from 1.9% in May and 2.9% in April.
Stats SA said several staple products, including white rice, maize meal, samp and porridge, are now cheaper than they were a year ago.
Meat inflation also continued its downward trend, easing further to 5.1% from a peak of 13.5% in January 2026.
“Inflation for beef products is settling, with the annual rate for beef mince cooling to 3.9% from May’s 10.6%. Stewing beef entered deflationary territory, with its annual rate declining to -2.7%,” Stats SA said.
However, some food categories remain elevated. Hot beverage inflation has remained above 6.0% for four years, since June 2022, reaching 7.4% in June 2026.
The annual inflation rate for black tea stood at 8.3%, while instant coffee increased by 7.0%.
Other food products that recorded the largest annual price increases in June included pork, tomatoes, sausages, corned meat and hake.
Meanwhile, seasonal fruit, beetroot, white rice, potatoes and dried beans recorded some of the biggest annual price decreases.
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