Production price inflation rises 7.8%

South Africa's producer price index (PPI) registered growth of 7.8% year-on-year in August compared with 7.7% year-on-year in July, Statistics South Africa (Stats SA) data.

The PPI increased 0.4% on a monthly basis after July's monthly increase of 1.3%.

The PPI was expected to have reached 7.4% year-on-year, a survey by I-Net Bridge found, with forecasts among nine leading economists ranging from 7.0% year-on-year to 8.0% year-on-year.

Exports were at 7.2% year-on-year in August from 7.8% in July, while imports were at 2.1% year-on-year from 2.0% year-on-year.

The current level, while higher than July, is off the surprise 9.4% year-on-year reading of June.