As expected, the Monetary Policy Committee kept the repo rate stable, with analysts and market commentators ahead of today’s announcement (24 May 2018) pointing to a more hawkish stance amid a weaker rand.
The repurchase rate will remain unchanged at 6.75% per annum, Reserve Bank Governor Lesetja Kganyago has announced.
“It was a stable start to the New Year with the Reserve Bank today announcing no change in the repo rate at the conclusion of its Monetary Policy Committee meeting, as forecast by various market commentators,” says Dr Andrew Golding, CEO of the Pam Golding Property group.
Outstanding credit balances in the South African household sector increased by 3,4% year-on-year (y/y) to R1 520,2 billion in the period January to August 2017.
The announcement by the Monetary Policy Committee meeting that the repo rate remains unchanged is surely what is needed to help fuel increased activity in the residential property market, says Dr Andrew Golding, chief executive of the Pam Golding Property group.
Welcoming today’s decision by the Monetary Policy Committee meeting to again hold the repo rate steady, Dr Andrew Golding, CE of the Pam Golding Property group, said that South Africa’s housing market continues to demonstrate maturity and ongoing resilience.
The Reserve Bank’s Monetary Policy Committee (MPC) has kept the repo rate unchanged at 7% per annum.
South Africa’s current account deficit narrowed to 3.1% of gross domestic product (GDP) in the second quarter of this year.
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