South Africa Raises Interest Rate by Half Point (Update1)
By Nasreen Seria and Mike Cohen
June 12 (Bloomberg) -- South Africa's central bank raised its benchmark
interest rate by half a percentage point, the sixth increase in a year, as
rising food and energy costs keep inflation outside of the target range.
The Monetary Policy Committee lifted the repurchase rate to a five-year high
of 12 percent, Governor Tito Mboweni said in a televised speech from Pretoria
today. Eight of 26 economists surveyed by Bloomberg had forecast the decision,
while the rest expected a 1 percentage point increase.
~lower-than-expected 50bps hike is driving USD/ZAR higher,now 8.1053 (+1.43%)
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