South african reserve bank governor lesetja kganyago
Interest rate cuts unlikely this year, say economists
The Reserve Bank has projected two increases of 25 basis points in the second and third quarter of this year.
South African Reserve Bank Governor Lesetja Kganyago said that it would take time for the country to get back to pre-pandemic output levels.
The Reserve Bank governor agreed to drop his defamation case in which he was seeking R500,000 but only if Lungisa apologised publicly and retracted his verbal attack.
South African Reserve Bank Governor Lesetja Kganyago announced on Thursday that the repo rate would remain unchanged at 3.5%.
The Bank has decided to keep the repo rate unchanged at 3.5% after it had reduced the rate by 300 basis points so far this year.
Kganyago made the announcement during a briefing on Thursday afternoon.
South African Reserve Bank Governor Lesetja Kganyago said that the bank's COVID-19 response could be described as aggressive.
Reserve Bank Governor Lesetja Kganyago said that the bank would continue to monitor growth, inflation and other economic data before deciding on the direction of the repo rate in the future.
With the repo rate being cut by another 25 basis points, prospective home owners are now looking at their options as houses become more affordable.
South African Reserve Bank (Sarb) Governor Lesetja Kganyago said that the country had nearly all the ingredients to obtain growth and create jobs and lift itself out of poverty but to do this, investment was key.
While the debate was ongoing across the world, the South African Reserve Bank (Sarb) governor said that the local discourse over the fate of the central bank was not evidence-based.
SA Reserve Bank Governor Lesetja Kganyago said that wasted policy space since the 2008 global recession meant that there was little room for any more interventions from the bank.
South African Reserve Bank Governor Lesetja Kganyago said that inflation was stable and growth needed to be boosted.
Last month, the central bank cut the repo rate by 100 basis points.
SA Reserve Bank Governor Lesetja Kganyago said that inflation was under control for now but this could change and the bank has needed to act.
The reserve bank governor on Thursday announced a reduction in the repo rate of 100 basis points to 5.25%.
The repo rate is the rate at which the central bank lends money to commercial banks.
The central bank has reduced the repo rate to 6.25%, dropping the prime lending rate to 9.75%.
The decision follows this week's Monetary Policy Committee meeting.