Repo rate raised by 25 basis points
The South African Reserve Bank's (SARB) Monetary Policy Committee (MPC) has raised the repo rate by 25 basis points, taking the rate to 3.75%.
Source: ©Paulus Rusyanto 123rf
Lesetja Kganyago, South African Reserve Bank Governor, says loadshedding was a consideration in the decision. But the move was based on a number of risks that have become elevated recently.
The governor also spoke about the return to normality of advanced economies and that leading to commodity prices beginning to fade.
He adds that the policy rate remains negative on a forward looking basis. “The reality is that the policy rate is negative.”
About Danette Breitenbach
Danette Breitenbach is the finance editor for Bizcommunity.com. She has a Masters in Financial Journalism from Wits.
