Savers to bear brunt of interest rate cut

Ndzinge
Ndzinge

Savers are going to bear the brunt of the Bank of Botswana’s (BoB) attempts to weaken monetary policy to bolster the domestic currency, economic analysts have warned.

Last week the central bank reduced its benchmark rate by 50 basis points from six percent to 5.5%, responding to low inflation and a slowing economic growth.

Chief investment officer at Afena Capital Botswana, Alphonse Ndzinge said net savers that depend mostly on short-term fixed deposits for income are probably the worst hit.

Editor's Comment
UDC should deliver on promises

President Duma Boko and his government must now hit the ground running to deliver on their promises and meet the high expectations of Batswana. The UDC has pledged to foster a deliberative democracy, where open dialogue and continuous conversations are encouraged. This approach will allow different viewpoints to be heard and strengthen the ideas that shape our nation. The introduction of the long-awaited Freedom of Information Act (FOIA) is a...

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