Johannesburg – The South African Reserve Bank (SARB) today announced its latest decision on interest rates in the country.
Sarb governor, Lesetja Kganyago, made his announcement following a three-day meeting with the Monetary Policy Committee.
“Recent unrest and economic damage could have lasting effects on investor confidence and job creation. The direct and indirect costs of these events will likely further slow South Africa’s economic recovery. We estimate the unrest to have fully negated the 2021Q1 growth outcome,” Kganyago said during his announcement.
Kganyago announced that the SA Reserve Bank will keep interest rates unchanged at this stage.
This means that the repo rate will remain at 3.5%, leaving the prime lending interest rate at 7%.
The GDP growth estimate for 2021 remains unchanged at 4.2%, while growth in 2022 is revised slightly lower at 2.3% (from 2.4%) and unchanged at 2.4% in 2023. The risks to the medium-term domestic growth outlook are assessed to be balanced. pic.twitter.com/al5HgqZbcG
— SA Reserve Bank (@SAReserveBank) July 22, 2021
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