South Africa says technical work on changing inflation target draws to a close

South Africa’s finance ministry and central bank said in a joint statement on Monday that technical work on whether to change the country’s inflation target was drawing to a close.

The inflation target range is currently 3% to 6%, but central governor Lesetja Kganyago has long advocated for a lower band, arguing it would make Africa’s most industrialised economy more competitive.

“The Minister of Finance and Governor will agree on any changes to the target band. The Minister of Finance will make a formal announcement as soon as is practical to anchor expectations,” the joint statement said.

Source: Reuters