Chief Economist at Stanlib, Kevin Lings, says the South African Reserve Bank is likely to keep interest rates unchanged despite the increase inflation.
Lings says the 6.4% inflation rate is above the Reserve Bank's 3.6% target. He says the better agricultural season than expected may lead to a decrease in inflation rate at the beginning of next year.
The Reserve Bank has not changed rates since March this year.
We are systematically looking for an improvement in economic growth going into next year.— Kevin Lings, Chief Economist at Stanlib
Listen to Lings below to hear his view on downgrade...
This article first appeared on 702 : No interest rate hike by Reserve Bank predicts economist