SA’s commodity boom, which is giving rise to demand for more spending, will burst like others before and the government should resist temptation to use it as a reason to delay fiscal consolidation, Reserve Bank governor Lesetja Kganyago said.

“Don't adjust your spending thinking you are wealthier than you are,” Kganyago said on Friday during a virtual panel discussion that also involved Mexico’s former central bank governor Agustín Carstens and head of the US Federal Reserve Jay Powell. “The boom is not a permanent one.”..

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