National
Repo rate decision was expected: Roodt─── 16:15 Thu, 22 May 2014
Christopher Motabogi
Bloemfontein - Interest rates will remain unchanged at 5.5%.
SA Reserve Bank governor Gill Marcus made the announcement on Thursday afternoon and said this implies that banks will also keep their prime lending rate the same, giving South Africa's cash-strapped and highly indebted consumers a welcome reprieve.
The repo rate is the interest rate at which the Reserve Bank lends money to commercial banks.
In January, the committee increased the repo rate by 50 basis points to 5.5 percent and in March the repo rate remained unchanged.
Meanwhile Efficient Group economist Dawie Roodt says today’s decision was to be expected, given the economy’s weak current performance.
Dawie Roodt:
