South Africa's Kganyago Says SARB Policy Is Still Accommodative

The transcript discusses the constraints on fiscal and monetary policy in South Africa, emphasizing the limited room for maneuvering in both areas. It highlights the influence of the Federal Reserve's actions on local policy decisions and the importance of global economic factors such as trade tensions and monetary policy settings in developed countries. The discussion also covers current inflation risks, the outlook for future inflation, and projections for South Africa's economic growth, noting the impact of recent GDP data.

What is the constitutional mandate of South Africa's monetary policy?

• Trade balance

• Fiscal expansion

• Interest rate targeting

• Price stability

How does the Federal Reserve's policy impact South Africa?

• It determines South Africa's fiscal policy.

• It has no impact on South Africa.

• It influences global economic conditions that affect South Africa.

• It directly controls South Africa's interest rates.

What are the two main factors impacting South Africa's economic environment?

• Tourism and agriculture

• Technology and innovation

• Trade tensions and monetary policy settings in developed countries

• Local political stability and fiscal policy

What is the current state of inflation in South Africa?

• Above the target range

• Well-contained within the target range

• Not a concern for policymakers

• Unpredictable and volatile

What are the identified risks to future inflation in South Africa?

• Climate change and natural disasters

• Unemployment and wage growth

• Government spending and taxation

• Exchange rates and oil prices

What does the recent GDP growth data indicate about South Africa's economy?

• The economy is stagnant.

• The economy is growing rapidly.

• The economy has avoided a recession.

• The economy is in a recession.

What is the projected growth rate for South Africa for the full year?

• 2.0%

• 0.6%

• 0.3%

• 1.0%