Inflation has fallen from 5.5 per cent in the previous month. Rental inflation fell from 17.7 per cent in May to 15 per cent in June, while food and beverage cost increases fell to 1.7 per cent from 2.4 per cent in May.

Inflation had risen briefly in May, after falling to 5.2 per cent in April as the global economic crisis hit international food prices, commodity exports and economic activity.

In 2008 inflation had hit 9.2 per cent, but is predicted by local bank SABB to average just 4.8 per cent in 2009.