29 Quotes by Colen Garrow

The SARB will probably do nothing with interest rates when it meets next week.

It would appear that with revenue collection exceeding budget this fiscal year, additional tax relief may be forthcoming when Finance Minister Trevor Manuel unveils the national Budget for 2006/2007 on 15th February. Welfare and dependency grants, personal income tax relief, and cuts in those costs which would make housing more affordable for middle and low income earners are likely to buoy consumption expenditure, and manufacturing.

The situation as it is, is thus inequitable and will have to be addressed by government at some stage.

The stance the committee has taken probably provides a useful reminder that the easier interest-rate cycle has bottomed.

Persistent currency strength has had a detrimental impact on export-based activities in the manufacturing sector, making similar imported goods more competitive.

The monetary policy committee cautioned last month that it may not allow growth in credit to go unchecked, inferring that it may be concerned that consumption expenditure could introduce an element of inflation sufficient to attract a monetary tightening response.

Despite the odd shortcoming, this Budget is on balance good. It entrenches South Africa's good fiscal record.

This is going to cement the case to hike interest rates. The numbers do nothing to alter the stance now developing in the market that the next move in interest rates will be up. The consumption side of the economy needs to be slowed.

The relative size of the mining sector is dwarfed by the contribution of the finance, real estate and business service sector's 19,5%.