South Africa inflation rises slightly to 2.8% y/y in April
JOHANNESBURG, May 21 (Reuters) - South Africa's headline consumer inflation rose marginally to 2.8% year on year in April from 2.7% in March (ZACPIY=ECI), opens new tab, data from the statistics agency showed on Wednesday.
In month-on-month terms inflation was at 0.3% in April, compared with 0.4% in March (ZACPI=ECI), opens new tab.
Economists polled by Reuters had forecast annual inflation would remain steady at 2.7%, below the central bank's 3% to 6% target range.
Deputy Finance Minister David Masondo said last week that a new inflation target could be announced soon, leading to speculation that it could feature in Wednesday's budget presentation.
The prospect of a lower inflation target has lifted the rand , with economists saying a lower target would reduce the likelihood of further interest rate cuts.
The next monetary policy announcement by the South African Reserve Bank is due on May 29.
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