Sarb should give stern warning - economist
Cape Town - The SA Reserve Bank (Sarb) should bide its time and leave its repo rate unchanged at the conclusion of its Monetary Policy Committee meeting on Thursday, according to Sanlam Investments economist Arthur Kamp.
Merely a stern warning that it stands ready if unfolding events and incoming data warrant action should suffice for now, in Kamp's view.
"All in all, a combination of slowing inflation (and lower inflation forecasts), soft private sector credit extension and weak domestic demand growth should be sufficient to convince the Reserve Bank that this is not the time to hike its repo rate," said Kamp.