South Africa: Reserve Bank Signals Resolve On Inflation Target As Two Rate Hikes Loom Large

The South African Reserve Bank (Sarb) is holding firm on its 3% inflation target despite a new rise in oil prices that threatens to increase pressure on households. Governor Lesetja Kganyago emphasized the importance of staying focused on this target to enhance resilience against challenging global economic conditions. The Sarb's latest Monetary Policy Review warns that the conflict in the Middle East and rising oil prices could reverse the disinflation trend.