SARB cuts in face of recession

The South African Reserve Bank (SARB) has cut interest rates by 100 basis points to 7.5% as Africa's leading economy enters it first recession in over a decade.

The central bank's monetary policy committee noted that the cut was "expected to contribute to an improved inflation outlook, notwithstanding some current inflation inertia."

Annual consumer-price inflation only fell from 8.5% in March 2009 to 8.4% - still well above the central bank's 3-6% inflation target - in April, despite the cou