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SARB Keeps Policy Rate Unchanged, ICJ Delivers Verdict In Gaza Case

SOUTH AFRICA
  • The South African Reserve Bank (SARB) unanimously decided to keep the key policy rate unchanged at its peak level of 8.25%, while signalling that its fight against inflation is not over. The outcome was in line with analyst expectations amid broad understanding that the tightening cycle is over, yet the rhetoric accompanying the decision was relatively hawkish, amounting to a "higher for longer" message. Meanwhile, Governor Kganyago announced that David Fowkes, an adviser to the governors, was appointed to the Monetary Policy Committee (MPC) following the departure of Deputy Governor Kuben Naidoo.
  • The ANC's National Executive Committee (NEC) will meet over the weekend to discuss strategy for the upcoming elections. Ruling party officials may also discuss the potential expulsion of former President Jacob Zuma, who said he would not vote for the ANC and joined the new party MK, called after the ANC's long defunct paramilitary wing.
  • The International Court of Justice (ICJ) will decide in South Africa's genocide case against Israel. Pretoria has asked to court to issue a provisional order to Israel to halt its military operation in Gaza. Foreign Minister Pandor has travelled to The Hague to hear the verdict, which will be announced around 12:00GMT/13:00CET.

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