Rising cost of living, SA President calls for united response

President Cyril Ramaphosa says the government is doing everything it can to protect South Africans from price rises now and in the future.

The President stated in his weekly communication to the public that these rises, particularly in fuel prices, are the result of factors over which the government has little influence.

“Though oil prices and extreme weather are events over which we have little control. There is still much we can do, as government, business, labour and communities to help the people of South Africa through this difficult time,” President Ramaphosa said.

South African consumers have been slammed by sharp price hikes in recent months, which have had a significant impact on their quality of life.

The President acknowledged that purchasing food and other necessities, paying for basic services, and using public or private transportation had become extremely expensive.

While growing expenses affect everyone, he claims that low-income households are the hardest hit.

According to Stats SA’s latest Consumer Price Index for April 2022, there has been little relief for hard-pressed South Africans, with food inflation at 6.2 percent.

“The most basic foodstuffs cost more than a year ago, with staples like cooking oil recording the highest increases. The price of fuel, which affects the price of almost everything else, has risen by a third in the 12 months to March 2022,” he said.

President Ramaphosa said South Africa is not alone in this regard, as a recently published poll for the World Economic Forum shows that nearly a quarter of people globally, including those in developed economies, are struggling financially due to rising prices.

“These increases, particularly the price of fuel, are the consequence of events over which we have little control. The ongoing conflict between Russia and Ukraine has had a significant impact on the price of fuel and food. Both countries are major exporters to international markets of fertilisers, grains and oilseeds that are needed for a range of items such as cooking oil,” he said.

Another factor, he said, is lower agricultural output due to extreme weather events caused by climate change, such as flooding and droughts.

“One of our greatest advantages as a country is a strong, independent Reserve Bank that has managed to keep inflation within a narrow target range, well below what many other countries are experiencing,” he said.