SARB Governor Kganyago says risks to the outlook balanced

  • Growth risks more or less balanced'
  • Future moves are data dependent
  • Decision was unanimous
  • Rand remains upside risk
  • Temporary overshoot of rand possible when Fed hikes rates
  • The SARB slashed growth forecasts for 2015, 2016 and 2017
  • Risks to CPI on the upside, sees high probability of extended breach
  • Exchange rate primary upside risk to inflation

USD/ZAR rose to 13.71 from 13.64 but most of it came on the dovish headlines ahead of the rate announcement.