Moegoe: Reserve Bank
The Reserve Bank recently lowered interest rates by 25 basis points. Many believe a larger cut of 50 to 100 points could have had a bigger impact.
The decision seems cautious and reflects the bank’s overly conservative approach. This small change is unlikely to help struggling households much in this unforgiving economy. High unemployment and inequality persist, with little relief in sight.
The bank’s actions often seem to favour the interests of a select few rather than the broader society.
A more substantial rate cut could have provided more meaningful support to the working class. Instead, the economy may continue to suffer while those benefiting from high rates remain comfortable.
