BoB re-adjusts inflation forecast further

Rising fuel prices and expected utility tariff hikes in the first half of this year will see the annual inflation rate fall within the 3 to 6 percent medium-term objective in the second half of 2012 and not in the second quarter of the same year as previously forecast, the Bank of Botswana (BoB) said this week.

In a statement following the April meeting of the Monetary Policy Committee this week, BoB says contrary to the projections of MPC's February meeting, rising inflationary pressures are likely to push forward the forecast by a few more months.