South African inflation expectations rose for the next two years, providing impetus for the central bank to extend its most aggressive rate-hiking cycle in decades. Average inflation expectations for the year increased to 6.5% in the second quarter from 6.3% previously, according to a survey conducted by the Stellenbosch-based Bureau for Economic Research. The rate of price growth for 2024 is now seen climbing to 5.9% from 5.8% and to 5.6% the year thereafter, according to participants in the poll of analysts, business people, labor unions and households conducted.
