These external shocks were responsible for a surge in the twelve-month rate of increase in the CPIX from a low of 5,8 per cent in September 2001 to a peak of 11,3 per cent in October 2002.
Restrictive monetary policy measures undertaken and the subsequent recovery in the exchange rate of the rand then brought the rate of increase over twelve months in the CPIX down to 4,4 per cent in April 2004. Fifthly, a large forward book was built over the years as the country faced sanctions and could not access the international capital markets.