South Africa’s inflation target cut a ‘major’ feat, says IMF
Move likely to reduce borrowing costs and improve debt sustainability, institution says
The International Monetary Fund has welcomed South Africa’s adoption of a lower inflation target, saying the move is likely to strengthen stability and improve debt sustainability for the nation.
After concluding its Article IV mission to the country on December 9, the IMF said: “The adoption of a lower inflation target in the context of a strengthened inflation targeting framework is a major policy achievement.”
South Africa on November 12 officially lowered the target to 3% with a tolerance band
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