South African inflation hits 13-year high

Inflation in South Africa accelerated to its highest level in 13 years in July, pushed mainly by surging food, transport and electricity prices, official data showed Wednesday as workers staged protests over the high cost of living.

Consumer prices rose at an annual rate of 7.8 per cent in July, up from 7.4 per cent in June, the national statistics agency StatsSA said in a statement. The publication of the latest statistics coincided with protests in major cities over the worsening economic conditions, which have been particularly crushing for the poorest in the continent's most industrialised country.

Strikers led by South Africa's two largest trade unions called for government action to combat rising poverty and the cost of living in the world's most unequal country.

While the new inflation figure is bad news for consumers, economists see the country likely reaching a tipping point and believe inflation could ease in the coming months.