Bots inflation jumps on fuel

JOHANNESBURG – Botswana’s consumer inflation rate jumped to 7,5 per cent year-on-year in July from 6,4 per cent the previous month on a sharp increase in fuel costs, the central bank said on Friday.

“After remaining steady at 6,4 per cent between May and June, headline inflation, as measured by the Consumer Price Index, rose sharply in July, increasing by 1,1 per cent to 7,5 per cent,” the Bank of Botswana said on its web site. The bank reduced its bank lending rate by 50 basis points to 14,5 per cent in June, citing an improved outlook for inflation, but its Governor Linah Mohohlo has warned credit growth was too high and inflation still too near the top end of its four to seven per cent range, to warrant more cuts.Nampa-ReutersThe bank reduced its bank lending rate by 50 basis points to 14,5 per cent in June, citing an improved outlook for inflation, but its Governor Linah Mohohlo has warned credit growth was too high and inflation still too near the top end of its four to seven per cent range, to warrant more cuts.Nampa-Reuters