Top US bank expects SA’s GDP to grow 2% next year
Citibank pencils in 75 basis points rate cuts by January
20 August 2024 - 05:00
Citi has raised its forecast for SA’s GDP growth to 1.2% this year and to 2% next year, citing the positive effect of the two-pot retirement reform, lower inflation and expected interest rate cuts boosting consumer spending after a few years of high inflation and elevated debt.
The US multinational projects that inflation will average 4.1% in the fourth quarter. It expects a 75 basis point rate cut at the monetary policy committee’s next three meetings — September, November and January — saying this would help to boost household consumption...
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