Citibank has raised South Africa’s economic growth forecast, saying that the economy will expand by 1.2% this year and 2% next year.
It said that the economy would be boosted by the new two-pot retirement system, lower inflation, and interest rate cuts later in the year.
It also said that it expected that interest rates would be cut by 25 basis points at the next three meetings of the South African Reserve Bank (SARB).
Citibank also said that the outlook was positive for South African equities, especially consumer stocks.
[Image: u_3u3n7wt5sr from Pixabay]