The danger of high inflation was on Monday highlighted by Lesetja Kganyago‚ governor of the South African Reserve Bank (SARB).
It is a scenario that neighbouring Zimbabwe is crippled by‚ and SA's lawmakers should take heed. Earlier this month‚ Zimbabweans woke up to a shock 66% bread price hike. And in the past two months‚ the bread price there has gone up three times. In January‚ fuel prices almost doubled.
Kganyago crunched the numbers showing how the price of any item could surge to unaffordable levels‚ if inflation was not tightly controlled.
In the graph he showed that the price of bread could reach a staggering R212 in 20 years depending on the inflation rate.
"High inflation is not good for the welfare of our society‚" he cautioned‚ tagging the presidency‚ SA Reserve Bank and treasury.