NOW Ep107: A pivot to lower interest rates in SA?

Loading player...
Inflation is at 3%. The Reserve Bank wants to lock it there. Interest rates are edging down. But the bigger picture is far from settled:
• Growth is stuck below 1%
• US tariffs threaten trade and jobs
• The rand’s strength rests on fragile global sentiment
• Consumers are squeezed and government finances remain stretched

In this episode of No Ordinary Wednesday, Jeremy Maggs speaks to Investec Chief Economist Annabel Bishop about the shifting sands of macroeconomic policy, and what it means for business, households and markets.

Podcast key moments:
00:00 – Introduction
01:16 - What’s behind the SARB’s shift in inflation targeting? And will it or not result in significant rates cut?
04:44 - What would be the key triggers for either accelerating or pausing rate cuts?
07:43 – What sectors are potential bright spots and which structural drags are most likely to keep the annual growth rate anchored near one percent?
11:12 - What scale of impact do you anticipate tariffs will have our growth, trade balance, and broader economic outlook?
13:59 – How resilient is the South African consumer, and where are we seeing the greatest pressure on household spending?
16:22 - The rand has found support from recent dollar weakness, but how much of this strength is simply global sentiment, and how much reflects genuine improvements in South Africa’s economic fundamentals?
18:44 - How would you characterise current financial-market sentiment towards South Africa?
23:29 - Which key economic indicators will you be tracking most closely in the coming months, and why do they matter for South Africa’s outlook?

Read more on www.investec.com/now

Hosted by seasoned broadcaster, Jeremy Maggs, the No Ordinary Wednesday podcast unpacks the latest economic, business and political news in South Africa, with an all-star cast of investment and wealth managers, economists and financial planners from Investec. Listen in every second Wednesday for an in-depth look at what's moving markets, shaping the economy, and changing the game for your wallet and your business.
Chapters
  • 00:00 Introduction
  • 01:16 What’s behind the SARB’s shift in inflation targeting? And will it or not result in significant rates cut?
  • 04:44 What would be the key triggers for either accelerating or pausing rate cuts?
  • 07:43 What sectors are potential bright spots and which structural drags are most likely to keep the annual growth rate anchored near one percent?
  • 11:12 What scale of impact do you anticipate tariffs will have our growth, trade balance, and broader economic outlook?
  • 13:59 How resilient is the South African consumer, and where are we seeing the greatest pressure on household spending?
  • 16:22 The rand has found support from recent dollar weakness, but how much of this strength is simply global sentiment, and how much reflects genuine improvements in South Africa’s economic fundamentals?
  • 18:44 How would you characterise current financial-market sentiment towards South Africa?
  • 23:29 Which key economic indicators will you be tracking most closely in the coming months, and why do they matter for South Africa’s outlook?
19 Aug 2025 English South Africa Business · Investing

Other recent episodes

Everything Counts | Episode 53: Tips for tax filing season in South Africa

In this episode of Everything Counts, we unpack one of the most overlooked opportunities to improve your financial position: your tax return. Many people treat tax filing season as a simple compliance exercise and move on. But as our experts explain, your SARS tax return is actually a powerful financial…
11 Aug 28 min

Macro Monday Ep126: Slowing momentum in global equities

While global equities are up strongly over the last year, there’s been a clear slowing in momentum in the last six months. According to Chris Holdsworth, Global Chief Investment Officer, Investec Investment Management, this implies that much of the strong US earnings performance has been priced into the market.
3 Aug 9 min

No Ordinary Wednesday Ep 132: Investing in AI's next chapter

Artificial intelligence is moving faster than almost anyone expected. After attending two of the world's biggest technology conferences in Boston and San Francisco, Investec global equity analysts David Smith and Zane Bezuidenhout unpack what they learned from the executives shaping AI's future. From surging demand and infrastructure bottlenecks to agentic…
28 Jul 16 min

Everything Counts | Episode 52: Has saving lost its meaning?

We've all heard the advice. Save more. Spend less. Start earlier. In this episode of Everything Counts, Motheo Khoaripe is joined by Investec's Nirvashni Rajkumar (KZN team leader for the Investec financial planning team) and Dorothy Asomaning (Investec Wealth & Investment Wealth Manager) to explore why saving is about much…
28 Jul 27 min

Macro Monday Ep125: Excellent earnings season so far

Although US earnings for the second quarter have mostly beaten expectations, markets appear to have wanted more. Chris Holdsworth, Global Chief Investment Officer, Investec Investment Management, says even companies such as Alphabet that have beaten forecasts have seen declines in their prices after results.
27 Jul 7 min