The South African economy is still struggling and is in a technical recession since the beginning of the second quarter.
The Reserve Bank held its last of six meetings this year, and had no choice but to raise interest rates by 0.25%.
The lending rate to banks is thus increased to 6.75% and means that lending and mortgage bond rates will be adjusted upwards.
The chairman, Governor Lesetja Kganyago, made his announcement on Thursday afternoon after the meeting.
A well-known economist in Pretoria told Die Vryburger that the country will be immersed deeper in the recession because of the world’s unwillingness to invest in South Africa, as well as Black Economic Benefit (BEE) and other measures that ensure discrimination against whites.
Read the original article in Afrikaans on Die Vryburger
This report does not necessarily reflects the opinion of SA-news.