The monetary policy committee MPC of the South African Reserve Bank Sarb has decided to keep the repo rate unchanged at their second meeting of the year, citing it remains uncertain what the future holds due to the Middle East conflict.
Announcing the decision on Thursday, Governor Lesetja Kganyago pointed out that the more the war lasts, there higher chances are of inflation rising. The decision was unanimous.
He said the level of restrictiveness has moderated. However, going into this meeting with all the data they had, together with the assessment of the outlook and the risks, they saw it fit to keep the repo rate unchanged.
