# South African Reserve Bank Governor Lesetja Kganyago says the current 4.5-percent inflation goal weakens the rand and doubles prices every 16-years. In the Reserve Bank’s annual report, Kganyago argues for a three-percent target, aligning with global norms. With inflation at 2.8-percent in May, Kganyago calls this an amazing opportunity for reform. The Reserve Bank and Treasury are expected to present policy review recommendations, which could also lower borrowing costs and improve price stability.
SARB Governor pushes for lower inflation target to protect rand’s value