Just heard that interest rates are going to go up again. This time at least 50 basis points. Perhaps even 75. It never ends. With all the shit increasing now and interest rates on top of that, I don't think I will be punting again anytime soon. :( Shit is starting to get real nasty.

Yes as high as 75 bps owing to inflation above the target band back in July and the weakening currency.

There's a fine balance between that without throttling economic growth since higher interest rates tend to reduce spending.

And it's up 75 base points
Meaning
Less money in our pockets

And our struggles just got harder

How to get the economy going..... very simple!
Drop the interest rate sagnificantly, drop the petrol price with about half the price.....

People will spend more! Businesses will need more employees because they are getting busier..... more people will be employed which means more people will spend more money!

Government will make more money because of VAT and all the people spending so they will have more to embezzle.....

SP's will become busier because people will have more money to spend.

On 2022-09-22 17:47:33 Milo46.2 said:
How to get the economy going..... very simple!
Drop the interest rate sagnificantly, drop the petrol price with about half the price.....

People will spend more! Businesses will need more employees because they are getting busier..... more people will be employed which means more people will spend more money!

Government will make more money because of VAT and all the people spending so they will have more to embezzle.....

SP's will become busier because people will have more money to spend.

Not quote as simple as just that

On 2022-09-22 18:46:16 Kommerq said:
On 2022-09-22 17:47:33 Milo46.2 said: How to get the economy going..... very simple!
Drop the interest rate sagnificantly, drop the petrol price with about half the price.....

People will spend more! Businesses will need more employees because they are getting busier..... more people will be employed which means more people will spend more money!

Government will make more money because of VAT and all the people spending so they will have more to embezzle.....

SP's will become busier because people will have more money to spend.

Not quote as simple as just that

Agreed ...far more complicated. Think fixing ESCOM for example

Definitely not that simple.
Interest rate increased. More because of US increase so as to ensure we don't have too much foreign currency outflows. Otherwise watch the rand tank which means imports go up especially cost of oil. Seeing as our useless government hasn't educated the population which would make us less dependant on imports. We are now the ones who suffer because of world politics far away from us. Eskom situation makes it worse as it makes us less attractive to investors.

@WillGrey: Well said and explained.
Load shedding, as a result of inadequate investment and maintenance over the last 20 years, means that domestic production is much lower than it should be. Think mining exports. And what cannot be produced domestically, must be imported. Lower exports and higher imports weakens the rand, which raises inflation. Higher interest rates are thus not only needed to attract foreign capital, but also to bring demand in line with weak domestic supply.

Easy to blame higher interest rates. But unfortunately needed to prevent even bigger problems (down the line).

Its a total f*&k up, yet people will still vote ANC