This evening on Current Affairs we look at the South African Reserve Bank’s Governor, Lesetja Kganyago announcement that the monetary policy committee (MPC) voted to increase interest rates by 50 basis points at its meeting today, which brings the repo rate to 7.75%.

He said three members of the Committee preferred the announced increase, whilst two members preferred a 25 basis points increase. This increase marks the ninth consecutive interest rate increase in the current hiking cycle, which started in November 2021.

This latest interest rate increase brings the country’s prime lending rate to 11.25% – the highest it has been since 2009. To help us understand what this means and to unpack it were joined by Economist at Stellenbosch Business School, Prof Andre Roux.

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