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For the fifth month in a row, pensions are increasing faster than take-home salaries. Last month, take-home salaries increased by 5.9%, beating inflation by 1.4% according to the BankservAfrica Disposable Salary Index (BDSI), while the BankservAfrica Private Pension Index (BPPI) indicates that pensioners saw an average increase of 10% on their income.
SA’s annual headline consumer inflation at 4,0% in March from 3,9% in February was lower than the markets expectations. The lower rate relative to forecasts stemmed from lower-than-expected food prices.
While the SA Reserve Bank’s Monetary Policy Committee (MPC) kept interest rates unchanged last week – as expected – the country must prepare itself for a resumption in the rate hiking cycle, says Izak Odendaal, Investment Strategist at Old Mutual Wealth.
The South African Reserve Bank (SARB) kept interest rates on hold at 5.75% today, in line with our in-house view and the unanimous prediction among the 26 analysts polled by Bloomberg.
If you had to hazard a guess, when do you reckon the COFI Bill will be signed into law?