According to Statistics South Africa, the consumer price inflation (CPI) index dropped to 4.6% year-on-year in May.

Inflation has eased significantly since peaking near 14% in 2008. Analysts said the near-term CPI outlook is favourable especially with easing food inflation, a key driver previously.

Unfortunately the economic revival in the country is still looking bumpy because of weak consumer demand and the waning confidence among households and manufacturers.

Reported by Reuters