SA Reserve Bank hikes rates

[BusinessTech]

SA Reserve Bank hikes rates

The South African Reserve Bank’s Monetary Policy Committee (MPC) has decided to raise the repo rate to 3.75% per annum.

 

[Vorastra]

 

[BBSA]

Good

 

[rvZA]

God speed to anyone with debt!!

 

[Drifter]

And do it begins. Pretty soon articles on home owners forfeiting and losing their houses.

 

[maxxis]

Depends on how bad the debt is.

My investment interest outweighs the interest on my bond. Not phased. We accounted for up to a 5% increase when we bought the house.

People who thought that the interest rates are going to stay low and geared themselves higher fooled themselves.

 

[PaulMurkin]

And do it begins. Pretty soon articles on home owners forfeiting and losing their houses.

Just what the ANC wants...

 

[backstreetboy]

About dang time.

 

[Stokstert]

Thank you, could have been more.

 

[saturnz]

token gesture

 

[Scooby_Doo]

Article incoming

"This is how much more you will pay on your home loan."

 

[JayM]

ZAR does not like this at all...briefly touched $1=R15.75.

 

[epah]

should have made it 100%.

 

[Cius]

Long term forecasts from most economists show that we should be up to 5.5% by June 2023. Just a heads up for those with debt. Pay it down sooner rather than later. Good time for the savers and pensioners though.

 

[Alton Turner Blackwood]

Fine. Was good while it lasted

 

[Mista_Mobsta]

I honestly don't think this was the right call from Les and Co. Sure inflation is knocking on the doors globally but it's not a demand-pull inflationary trend and more of a 'where the F has the supply gone' scenario. We need to up consumer spending in SA and rectify our economies biggest faults: Eskom and Transport. Larger companies will survive the hike but if people won't be spending some cash at the smaller mom&pop stores, especially post-COVID lockdowns, then more jobs are gone. Also, raising rates just before the festive season and prior to another looming lockdown isn't the best idea when you want people to be spending!

Just my 2cents

 

[Sinbad]

ZAR does not like this at all...briefly touched $1=R15.75.

The market was expecting a bigger hike?

 

[JayM]

Long term forecasts from most economists show that we should be up to 5.5% by June 2023. Just a heads up for those with debt. Pay it down sooner rather than later. Good time for the savers and pensioners though.

Take on good debt - short the rand:

 

[JayM]

The market was expecting a bigger hike?

I'd say hoping more than expecting. This much of a drop is a bit of a shock tbh.

 

[notayoba]

Well well. It was to be expected. But 0.25% isn't really going to have much impact. Couple hundred bucks more on my bond.