Low interest rate regime for 2011

Announcing the 20110 monetary policy statement on Friday, central bank governor Linah Mohohlo said that despite the pressures emanating from mostly food, fuel and administered prices, there are prospects for a low and stable inflation in the medium-term providing scope for 2011 monetary policy to be accommodative.

"The accommodative monetary policy stance would help support sustained economic recovery in an environment where fiscal stimulus-or even government contribution to economic activity- is constrained by limited revenue," she said.