Analysts expect interest rate hike

The South African Reserve Bank is expected to hike interest rates again on Thursday. Should this happen, it will take the prime lending rate at banks to 7.5 percent. #eNCA takes a closer look. #DStv403

JOHANNESBURG - Prepare for your home and car loan repayments to start rising. 

The Reserve Bank is expected to hike interest rates on Thursday. 

If this happens, it will take the prime lending rate at banks to 7.5 percent. 

READ: Reserve Bank expected to continue to raise interest rates

While higher interest rates can stifle consumers and economic activity, the Reserve Bank is mandated to tame price rises. 

Higher inflation, which has been creeping into the economy, supports the case for the Reserve Bank to increase rates. 

* eNCA's Devan Murugan reports.

Source
eNCA

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