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Article by: Sapa
Published: 12 May 2011
|SARB leaves repo rate unchanged|
The South African Reserve Bank has left the repo rate unchanged at 5,5%, governor Gill Marcus said on Thursday.
The prime rate would stay at 9%.
This was in line with market expectations and kept the rate at its lowest level in over 30 years.
This was the third consecutive meeting where it remained unchanged, after it was reduced by 650 basis points between mid-2008 and December 2010.
In a Bloomberg poll, all 20 economists agreed the repo rate would be left unchanged. Reuters surveyed 28 economists who also saw the repo rate holding steady.
The target inflation range is between 3% and 6%. The average inflation rate for 2010 was 4,3% compared with 7,1% in 2009.
The decision followed a three-day meeting of the Monetary Policy Committee in Pretoria.