The South African (SA) Rand was steady in early trade on Tuesday, ahead of the release of local Central bank data expected to offer insight into the country’s economic outlook.
Rand traded at 16.03 against the Dollar , a whisker away from Monday’s close.
The SA Reserve Bank will publish its composite leading business cycle indicator for December, which collects data including vehicle sales, business confidence and money supply in Africa’s most industrialised nation.
Investors’ focus will pivot to Finance Minister Enoch Godongwana’s budget speech on Wednesday for insights into the ruling coalition’s fiscal priorities, strategies to address national debt, and planned economic reforms.
Analysts have described the macroeconomic backdrop as relatively favourable and expect this year’s budget statement to show further progress in fiscal consolidation, with a faster pace of deficit reduction, a widening primary surplus and stabilising public debt.
Other economic indicators due this week include producer price inflation data on Thursday, and money supply, private sector credit, trade balance and budget balance figures on Friday.
SA’s benchmark 2035 government bond was flat in early deals, with the yield at 7.895%.
–Reuters–
