VIDEO | Repo rate increases by 25 basis points to 7.25% - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.

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Kganyago: Headline inflation is only expected to sustainably revert to the midpoint of the target by the fourth quarter of 2024.

South African Reserve Bank Governor Lesetja Kganyago says the MPC decided to raise the repurchase rate by 25 basis points to 7.25% per year, effective January 27, 2023.Kganyago argues that the economic and financial conditions are expected to remain more volatile for the foreseeable future. “In this uncertain environment, monetary policy decisions will continue to be data dependent and sensitive to the balance of risks to the outlook.

He explains that high inflation and slow economic growth continue to shape global conditions. “Russia’s war in Ukraine drags on & recession risks remain elevated in the Euro Area, even though energy constraints have eased.”

 

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