Consumer price inflation (CPI) fell slightly in December 2010 to 3.5 percent year on year, Statistics SA said on Wednesday.
"This rate was 0.1 of a percentage point lower than the corresponding annual rate of 3.6 percent in November 2010," the agency said.
On average, prices increased 0.2 percent from November 2010 to December 2010.
The figure is in line with the SA Reserve Bank's target to keep annual CPI between three and six percent.