'Middle class will pay more due to repo rate changes'

According to economist and Wits senior lecturer, Lumkile Mondi, the middle class will be the hardest hit by the interest rate hikes after the anouncement of the repo rate being raised by 50 basis points.

702's Xolani Gwala spoke to economist, Lumkile Mondi, and finance journalist, Maya Fischer-French, about what the recent news means.

Listen to the interview below:

Corporates who are under distress will have to lean heavily on their shareholders to help them in the face of the global economic challenges.

Lumkile Mondi, Wits senior lecturer and economist

The middle class is going to be hit very hard because they drive consumption, borrowing and the growth of the economy. The middle class is going to be paying more and getting deeper into debt.

Lumkile Mondi, Wits senior lecturer and economist

It is incredibly important to understand where the middle class in South Africa stands, especially as we head up into the national budget.

Maya Fischer-French, finance journalist

The middle class are the people who are going to be squeezed... Since 2014, we've already seen an increase of 175 basis points.

Maya Fischer-French, financial journalist

Recommended

by NEWSROOM AI
Read More
10 business tips to boost you through a tough economy

10 business tips to boost you through a tough economy

Business growth specialist, Pavlo Phitidi tracks down previously profiled businesses and advises them on their next level growth.

Zuma lashes out at 101 ANC stalwarts in policy conference opening salvo

Zuma lashes out at 101 ANC stalwarts in policy conference opening salvo

President Zuma went 'off script' on Friday when he castigated his detractors saying many denied being on the 101 stalwarts list.

Explore the magic of Madeira at the Caravela Portuguese Festival

Explore the magic of Madeira at the Caravela Portuguese Festival

This weekend, all roads lead to the magical Madeira Day festivities at Montecasino.

"Whackhead" Simpson's song about Carl Niehaus was one of Redi's faves

"Whackhead" Simpson's song about Carl Niehaus was one of Redi's faves

In 2009 Carl Niehaus was forced to step down as ANC national spokesperson after fraud allegations surfaced.

Mr. Tlhabi bids Mrs Tlhabi farewell on her last radio show #FarewellRedi

Mr. Tlhabi bids Mrs Tlhabi farewell on her last radio show #FarewellRedi

Brian Tlhabi says his wife, Redi Tlhabi makes him super happy and continues to wish her the best with her future endeavours.

[LISTEN] Van Breda's call to emergency services: 'My family and I were attacked'

[LISTEN] Van Breda's call to emergency services: 'My family and I were attacked'

The chilling call Henri van Breda made to emergency services on the night his mother, father and big brother were hacked to death.

Popular articles
Pay up to 45% less tax by investing in a small business (Section 12J incentive)

Pay up to 45% less tax by investing in a small business (Section 12J incentive)

Dino Zuccollo of Westbrooke Alternative Asset Management answers 12 FAQs about the Section 12J tax incentive.

'Important to draw parallels with Egypt. There've been rumours of a palace coup'

'Important to draw parallels with Egypt. There've been rumours of a palace coup'

The Money Show’s Bruce Whitfield interviews Ronak Gopaldas, Director and Africa analyst at Signal Risk.

Mineral Resources DG defends move to appeal historic Xolobeni mining ruling

Mineral Resources DG defends move to appeal historic Xolobeni mining ruling

Mineral Resources DG, Adv. Thabo Mokoena has disputed claims that the department has disrespected the courts and the community.

Msimanga opens up about quitting as mayor and the controversial DA billboard

Msimanga opens up about quitting as mayor and the controversial DA billboard

Outgoing Tshwane Mayor Solly Msimanga says he resigned to focus on his Gauteng premier candidacy.

SundayTimes and former ANN7 journalist set the record straight on fake statement

SundayTimes and former ANN7 journalist set the record straight on fake statement

A message alleged to be from formerANN7 journalist Farida Joyce has been circulated on WhatsApp and social media.

Idols judge Unathi Nkayi gets intimate - opens up about money, beliefs about it

Idols judge Unathi Nkayi gets intimate - opens up about money, beliefs about it

The Money Show’s Bruce Whitfield interviews Nkayi about her attitude to money (hopes and fears, successes and failures, etc.).