{"id":11215,"date":"2012-06-07T23:01:25","date_gmt":"2012-06-07T21:01:25","guid":{"rendered":"http:\/\/www.myza.co.za\/06\/update-1-s-africa-reserve-bank-sees-downside-risk-on-growth\/"},"modified":"2012-06-07T23:01:25","modified_gmt":"2012-06-07T21:01:25","slug":"update-1-s-africa-reserve-bank-sees-downside-risk-on-growth","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/update-1-s-africa-reserve-bank-sees-downside-risk-on-growth\/","title":{"rendered":"UPDATE 1-S.Africa Reserve Bank sees downside risk on growth"},"content":{"rendered":"<p>\t\t<span><\/span><\/p>\n<p>(Adds quotes, background)<span><\/span><\/p>\n<p><span><\/span><\/p>\n<p><span class=\"articleLocation\">DURBAN, June 7<\/span> (Reuters) &#8211; Global economic developments<br \/>\ncould hurt South Africa&#8217;s economic growth while the depreciation<br \/>\nof the rand poses an inflation risk, Reserve Bank Governor Gill<br \/>\nMarcus said on Thursday.<\/p>\n<p><span><\/span><\/p>\n<p>Marcus said in a speech at a National Union of Metalworkers<br \/>\nof South Africa congress the central bank was concerned about<br \/>\nweak output in the key manufacturing sector, which accounts for<br \/>\nabout 15 percent of GDP.<\/p>\n<p><span><\/span><\/p>\n<p>The Bank sees economic expansion of 2.9 percent in 2012<br \/>\ncompared to previous expectations of 3.0 percent, slightly<br \/>\nhigher than the National Treasury&#8217;s prediction of 2.7 percent<br \/>\ngrowth this year.<\/p>\n<p><span><\/span><\/p>\n<p>&#8220;The risks to this forecast are to the downside, primarily a<br \/>\nresult of the risks posed by global developments,&#8221; she said.<\/p>\n<p><span><\/span><\/p>\n<p>The Reserve Bank left its repo rate at a three-decade low of<br \/>\n5.5 percent last month, sounding a warning about the effects of<br \/>\na bleak global outlook on the fragile domestic economy while<br \/>\nsaying inflation was likely to moderate.<\/p>\n<p><span><\/span><\/p>\n<p>Marcus said the depreciation of the rand, largely<br \/>\ndue to the euro zone debt crisis, posed the main risk to the<br \/>\ninflation outlook.<\/p>\n<p><span><\/span><\/p>\n<p>&#8220;However, there is not an automatic response of monetary<br \/>\npolicy to the depreciation, as the focus of monetary policy is<br \/>\nnot on the exchange rate per se, but rather on the overall<br \/>\ninflation rate over an appropriate time horizon,&#8221; she said.\t<\/p>\n<p> (Reporting by Xola Potelwa; Writing by Stella Mapenzauswa)<\/p>\n<p><span><\/span><\/p>\n<p class=\"copyright\">\n<p>         \t\t\u00a9 Thomson Reuters 2012 All rights reserved<\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Adds quotes, background) DURBAN, June 7 (Reuters) &#8211; Global economic developments could hurt South Africa&#8217;s economic growth while the depreciation of the rand poses an inflation risk, Reserve Bank Governor Gill Marcus said on Thursday. Marcus said in a speech at a National Union of Metalworkers of South Africa congress the central bank was concerned [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[830,2370,183],"class_list":{"0":"post-11215","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-news","8":"tag-reuters","9":"tag-south-africa-2","10":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/11215","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=11215"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/11215\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=11215"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=11215"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=11215"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}