No rate change

THE Reserve Bank left its repo rate unchanged at 7percentamid signs that the economy is on the mend. Inflation remains above the target band, but is seen moderating.

THE Reserve Bank left its repo rate unchanged at 7percentamid signs that the economy is on the mend. Inflation remains above the target band, but is seen moderating.

The announcement by central bank governor Tito Mboweni came about six hours after official data showed annual targeted consumer inflation slowed in line with expectations to 6,4percent last month, although it remains above the top end of a 3percent to 6percent target band.

Mboweni said yesterday inflation was likely to return on a sustained basis to the inflation target range by the second quarter of next year. He said there were indications that a lower turning point in domestic output might have been reached. - Reuters

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