Economics
African Central Bankers Out of Policy Space to Fight Recessions
- Central banks in seven economies to announce policy decisions
- Quickening inflation limits scope for further rate cuts
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African central bankers meeting in the next two weeks amid a resurgent coronavirus may find they’ve used up most of their interest-rate ammunition to lift their economies out of recessions that still affect much of the continent.
Monetary policy committees have limited scope to provide stimulus after aggressive easing when lockdowns first shuttered output in 2020, with inflation quickening in Nigeria and Angola and restrictions that would dull the impact of rate cuts continuing in South Africa and Kenya.