DStv Channel 403 Friday, 01 November 2024

Rate cuts may be halted to lower inflation target

JOHANNESBURG - Could there sustained pain for consumers so the Reserve Bank can achieve a lower inflation target?

This as Reserve Bank Governor Lesetja Kganyago recently repeated that a lower inflation target would put us in a better position in the long term.

The latest inflation point is at 3.8-percent for September, paving the way for further interest rate cuts next month.

The Reserve Bank's inflation target band is between 3 and 6 percent, with 4.5 percent being the target.

However, global economies have much lower targets, at around 2 percent.

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