INTEREST RATES TO CLIMB
Interest rates are expected to climb by another 50 basis points this year, even though uncertainty around the timing of the hikes remains, Malcolm Charles and Nazmeera Moola from Investec Asset Management’s fixed income team commented in a statement. Lesetja Kganyago, governor of the South African Reserve Bank, was expected to make an announcement on interest rates on 19 May, after finweek went to print. The volatile rand, driven in part by the current political turmoil, may weigh in favour of another interest rate hike despite the weak economy. Interest rates have risen by 200 basis points since the low in 2013.