South Africa’s central bank Governor said that the bank would not step in to protect the local currency despite its current weakness and that the rand was caught up in a realignment of global currencies. The bank’s main concern remains fighting inflation, knowing that risks to the inflation outlook included food prices, oil prices and exchange-rate moves. South Africa’s consumer inflation edged up to 4.8% year-on-year in August. The South African Reserve Bank kept its main lending rate unchanged at 8.25% and has been reluctant to suggest that rates may soon start to fall.
Source : Zawya
