Economics
South Africa Keeps Rates Unchanged, Warns of Gathering Risks
- Repurchase rate kept at 7% for fourth consecutive meeting
- Inflation trajectory still close to target’s upper end: SARB
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South Africa’s Reserve Bank left borrowing costs unchanged for a fourth straight meeting even as it warned that risks to the rand and inflation may force it to reassess its call that the policy-tightening cycle is near an end.
The six-member Monetary Policy Committee decided unanimously to leave the benchmark repurchase rate at 7 percent, Governor Lesetja Kganyago told reporters Thursday in the capital, Pretoria. It didn’t discuss a rate cut and none of the members proposed raising the benchmark, he said. All 19 economists surveyed by Bloomberg forecast borrowing costs would stay unchanged.