SA’s macroeconomic prospects are looking healthier: Kganyago
Kganyago says SARB expects inflation to slow significantly next year.
Reserve Bank Governor Lesetja Kganyago has expressed optimism about South Africa's economic outlook, despite global turmoil and uncertainty. Speaking at a forum on Africa and geopolitics, Kganyago highlighted the country's improving economic prospects after years of sluggish performance, mounting debt, and high inflation. He emphasized the potential for a global policy crisis, including economic, environmental, geopolitical, and social challenges.
Kganyago noted that he anticipates inflation to decrease substantially next year and has raised the policy rate to bring it down to 3%, expecting this to be achieved by the end of next year. Regarding fiscal policy, he indicated that South Africa is finally showing signs of recovery from the "over the year" syndrome, where forecasts often promise improvement at the end of the forecast period, but the timeline continuously shifts.
Kganyago expressed growing confidence that South Africa's debt has already reached its peak, and the debt-to-GDP ratio is expected to improve in the coming years.
Written by urgent.news from SABC News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
