On Thursday, the Reserve Bank governor announced that the repo rate was being lowered by 25 basis points.
The crucial question is will the reserve bank be aggressive when cutting the repo rate to help accelerate the economy?
The central bank governor said that he would not engage in internal ANC party squabbles, but he would strongly defend the central bank’s independence if it was threatened by any government proposals.
Governor Lesetja Kgayango announced on Thursday that the rate had been cut to 6.5%.
The meeting, was attended by the Deputy Finance Minister David Masondo and other representatives of the non-executive component of the bank's Board.
With global growth weakening, some economists expect no change in South African policy across the forecast horizon.
With interest rates going up, consumers already hit by the high value-added tax, fuel prices and utility tariffs, will feel the pinch.
Africa’s most industrialised economy grew by 3.1% in the final quarter of 2017, but contracted in the first quarter of this year.
All 25 economists surveyed in the past week said the Reserve Bank would keep rates unchanged at 6.50% on 19 July.
For the state to nationalise the Reserve Bank, it will have to buy out its shareholders, which will come at a hefty bill to the already strained fiscus.
The bank’s complete assets amount to R2 billion but R1 billion of that was withdrawn by municipalities after a ruling on mutual banks.
Reserve Bank Governor Lesetja Kganyago announced on Sunday that VBS had been placed under curatorship but would remain operational.
SA Reserve Bank Governor Lesetja Kganyago becomes the first IMF chairperson from the sub-Saharan African region.
Reserve Bank governor Lesetja Kganyago says that a lack of action against corruption is weighing on business confidence.
Reserve Bank Govenor Lesetja Kganyago said that politics remained a key theme, especially as noise intensifies in the run-up to the ANC leadership contest in December.
Reserve Bank Governor Lesetja Kgayago says inflation, poor business confidence, and political pressures are still impacting on the country's economy.
Economists are expecting the South African Reserve Bank to deliver a repeat performance of its July decision when it announced a 25 basis point cut.
The SA Reserve Bank governor says elements of radical economic transformation have become clearer over the last couple of months.
