Wage settlements may force Sarb to hike rates further, deputy says
Sarb may look to tighter monetary policy to curtail any second round inflation effects
Tighter monetary policy "may" be adopted to combat any second round impacts from wage increases, a South African Reserve Bank (Sarb) deputy governor said on February 19.
Speaking at the Federations Union of South Africa (FEDUSA) Leadership and Collective Bargaining Conference, Kuben Naidoo said the bank would consider raising rates should they exceed the inflation rate.
"Wage settlements that are above inflation and productivity growth threaten to undermine employment and pose a significant
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