Sarb cuts rates as unemployment breaches 30%
Central bank says emerging markets will struggle as lockdown measures ease
The South African Reserve Bank’s monetary policy committee cut interest rates to 3.5% today (July 23), following a rise in unemployment and a dip in inflation.
Only three of the MPC’s five members voted for the 25 basis point cut, while the other two preferred to keep rates on hold. The committee forecasts a further 25bp cut in the fourth quarter of this year.
“Global economic and financial conditions are expected to remain volatile for the foreseeable future,” governor Lesetja Kganyago said
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