Food Prices Expected To Drop Following Rate Cut, South Africans Laugh: “Tell Us Another Joke”

• The recent interest rate cuts the South African Reserve Bank governor Lesetja Kganyago announced may come with good news
• Food prices are expected to ease after Kganyago announced lower repo rates last week, which came into effect last week
• However, South Africans were not convinced that the expectations could translate into real food price changes

Tebogo Mokwena, Briefly News's current affairs journalist, covered current affairs relating to the economy, finance, banks, and state-owned enterprises during his seven years at Daily Sun and Vutivi Business News.

JOHANNESBURG — Food prices are expected to take a slight dive because of the repo rate that the South African Reserve Bank recently announced.

Food prices to drop?

According to @eNCA, SARB governor Lesetja Kganyago's announcement last week of a 25 basis-point reduction in the repo rate to 8% could lower food prices. However, Mervyn Abrahams from the Pietermaritzburg Economic Justice and Dignity Group said that food is still expensive for many households.

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View the tweet here:

Netizens doubt food price drop

South Africans commenting on the post did not think that South African stores would reduce food prices despite the repo rate Kganyago announced.

Muhamed-Nur Nordien said:

"Tell us another joke."

Zandile said:

"We all know that's not gonna happen."

LekoloaneManam2 said:

"I bet they won't."

Anele_ace said:

"They want us to say the GNU is working."

Neilwe said:

"I need the food prices of 2012. the black logo shop that was looted by the Merc guy sells ice cream for R120."

Honey Boo said:

"They are definitely joking. I ordered some groceries today and prices are higher than they were on month end."

Mashele NG said:

"For me, I want to see the price of eggs first."

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FutureInOurHands said:

"No, they won't. They will continue screwing us as usual."

R247 for potato leaves SA reeling

In a similar article, Briefly News reported that South Africans were in disbelief after food prices soared to unbearable heights.

Many complained of the high food prices in 2023 when they had to cough out R247 for a bag of potatoes.

Source: Briefly News