“The latest minutes from the United States Federal Open Market Committee (FOMC) have all but cemented a longer hold on interest rates in South Africa at 14-year highs, with the market now expecting rate cuts in the world’s biggest economy after the middle point of the year, possibly only in Q3.” BusinessTech 22nd February 2024
BusinessTech, have published an interesting article on the likely impact on the South African economy of interest rate decisions in the USA. The South African economy is vulnerable to changes in the worlds stronger economies, as well as its own battle with getting inflation under control and back into the Reserve Banks target range.
Whilst the high rates make life awkward for everyone who is borrowing to fund their basic needs and lifestyles, it makes good news for those with capital or savings who wish to either grow their asset base or to generate a living income. We offer Prime (currently 11.75%) plus 5% for capital growth, making 16.75%, and Prime plus 3% to generate an income, making 14.75%. If you have any questions about the information on our website, please send us a message via the contact form on the website, and we will get back to you.
You can read the whole article here.
https://businesstech.co.za/news/finance/754227/another-blow-for-interest-rates-in-south-africa/
