Annual consumer price inflation rose to 3.4% in September 2025, up from 3.3% in August.

This was according to the latest Consumer Price Index release from Statistics South Africa (Stats SA).

On a month-on-month basis, the consumer price index increased by 0.2%.

The main contributors to the annual inflation rate were housing and utilities, which recorded inflation of 4.5% and contributed 1.1 percentage points to the overall figure, and food and non-alcoholic beverages, also up 4.5%, contributing 0.8 of a percentage point.

Together, these two categories accounted for more than half of September’s total inflation rate.

Stats SA noted that the inflation rate for goods slowed to 2.9% from 3.1% in August, while the rate for services rose to 3.9% from 3.6%, signalling that price pressures are shifting away from consumer goods toward services such as housing, healthcare, and education.

The latest figures keep inflation comfortably within the South African Reserve Bank’s 3%–6% target band, but analysts caution that persistent pressure from utilities and food prices will continue to strain household budgets and reduce the prospect of near-term interest rate cuts.

The uptick in September’s headline inflation suggests that underlying cost pressures have not yet fully subsided. Economists say stable fuel prices and easing global commodity costs may help contain further increases, though administered prices and electricity tariffs remain a concern.