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Picture: MARTIN RHODES
Picture: MARTIN RHODES

The SA Reserve Bank’s Monetary Policy Committee (MPC) is widely expected to increase its benchmark interest rate on Thursday, with 16 of 24 economists surveyed by Reuters expecting the MPC to increase the repo rate by 50 basis points to 4.75%. The Bureau of Economic Research has also shifted its stance from a 25 basis-point hike to 50 points.

The challenge for the Bank, though, is striking the right balance between fighting exogenous inflation and supporting a weak economic recovery. Joining Michael Avery to discuss that are Warwick Lucas, head of Galileo Securities; Isaah Mhlanga, chief economist at Alexforbes; and Investec chief economist Annabel Bishop

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