Key City – The South African Reserve Bank restored 2025 economic growth forecast from 1.8% to 1.7%, referred to important challenges for recovery.
In the statement of the Monetary Policy Committee (MPC) on March 20, the Bank won’t change interest rates, and especially in the United States in terms of potential potential due to global uncertainty.
Governor Lesetja Kganyago said the committee decided to maintain the percentage rate of interest rate 7.5%. He evaluated trade voltage, changing geopolitical relations and variable US economic feelings as the main risks.
“The world is experiencing extreme uncertainty. Trade tension increased and long-term geopolitical relations change sharply,” he said.
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“In this situation, the global economic outlook is unpredictable,” Kganyago stressed uncertainty around future policy directions. “
On Thursday, in Johannesburg, RAND increased by 0.4% against the dollar, the two-year bond product fell to three main points and extended the Benchmark Fund index.
South Africa’s annual inflation opposes a 3.4% increase in the level of 3.4% in February and strengthening calls for the cut. However, this perspective trade tensions, especially the US President Donald Trump faced rhetoric and tariff measures.
The United States entered 2025 with a strong exchange and rising dollar, but tariffs and politics moisturize the expected expectations of recent violations from uncertainty.
Meanwhile, other large economies showed strong currencies and insistent high inflation.
In addition to the tensions, Trump has suspended aid on concerns about land laws and other issues in South Africa and expelled the country’s ambassador to Washington.
Despite these allegations, South Africa did not confiscate the private area since the end of the apartheid in 1994.
The country’s economic growth of South Africa was operated by inflation and withdrawal from two pension systems – and withdrawal from two pension systems – and withdrawal in late 2024. However, the total increase was weak at 0.6% during the year, was slightly lower than the expectations.
The reserve bank was reduced in 2025 to warn the demand and supply side restrictions, which are lowered and supply, 2025.
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