Are interest rate hikes on the horizon?

Should the Bank of Botswana (BoB) return to the contractionary stance, consumers should be prepared to pay more for their loans and other credit products with financial institutions.

While no analysts are expecting major adjustments to the bank rate at today’s second meeting of the year for the members of the BoB’s Monetary Policy Committee (MPC), several developments are signalling a possible tightening of monetary policy in the near future.