Reserve Bank Governor Lesetja Kganyago says permanently lower inflation, fiscal consolidation, and reduced country risk could cut interest rates and create space for sustainable growth.
The Reserve Bank’s repo rate cut by 25bps to 7% signals the start of a more accommodative cycle as inflation remains firmly under control.
SARB economist Thuli Radebe explains how targeting lower inflation could ease borrowing costs and support growth – challenging fears that a 3% goal means more interest rate hikes.
The revised Budget reveals the hard truth: with limited borrowing room and rising demands, Treasury must make tough calls on what to fund – and what to cut.
The minister’s address to the FSCA conference also touched on regulation, South Africa’s G20 presidency, political tensions over the Budget, and economic growth.
A phased VAT increase and frozen tax brackets mean South Africans will pay more, while concerns grow over government spending and economic stagnation.
Financial planners weigh in on the fallout and why investors should stay calm.
With South Africa’s debt-to-GDP ratio at 75.1%, Finance Minister Enoch Godongwana faces a tough balancing act – can his Budget Speech reassure investors and spark economic growth?
Life insurers are expected to maintain steady profitability, but policy surrenders and competition-driven pricing pressures could impact long-term growth.
Stable growth and fiscal discipline could see South Africa’s credit rating rise two notches in the next three years.
Old Mutual Wealth’s Izak Odendaal believes the only two risks that should concern investors are the US economy going into a recession and the Fed hiking interest rates.
This has negative implications for the country’s economic growth and the learners’ career prospects in a rapidly changing work environment.
Public-private partnerships and sustainable projects are opportunities for impactful, long-term investment in essential services and economic growth.
While challenges remain, improvements in energy supply, the rand, and infrastructure investment offer hope for future growth, provided the government continues to deliver on its promises.
The rating upgrade is likely to have profound implications for investment portfolios.
The Medium-Term Budget Policy Statement reveals a budget surplus and reduced wage bill, but it warns of ongoing financial pressures due to modest economic growth projections.
Having reached the target of 4.5% with ‘little or no cost’, Lesetja Kganyago argues that South Africa can achieve permanently lower inflation and interest rates.
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