JOHANNESBURG (Reuters) -South Africa’s headline consumer inflation rose to 3.5% year-on-year in July from 3.0% in June, in line with economists’ expectations.

Economists polled by Reuters had forecast annual inflation would rise to 3.5%, within the central bank’s 3% to 6% target range.

In month-on-month terms inflation was at 0.9% in July, compared with 0.3% in June.

Inflation has been well under control, giving the South African Reserve Bank (SARB) room to cut interest rates at three of its four policy meetings so far this year.

Last month the SARB cut its main lending rate by 25 basis points to 7.00% and signalled a shift toward a 3% inflation goal down from 4.5%, despite the finance minister not yet signing off on a formal target change.

SARB Governor Lesetja Kganyago has long advo

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