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Budget Speech 2018: VAT and the expected effects of the tax increases on the CPI

What is the impact on businesses and the consumer?

CPI inflation is unlikely to drop below the 5% mark for the medium term, says Investec’s Annabel Bishop, so the Reserve Bank is not going to rush into any interest rate cuts.
She adds that the VAT increase is a small one, which, on a global perspective, has brought us slightly up towards the average but still well below it.

Get more insights from the Investec #Budget2018 panel discussion here: http://bit.ly/2FKX4AV

For other videos from this playlist, click here: http://bit.ly/2IfkuiX

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Investec is a distinctive Specialist Bank and Asset Manager. We provide a diverse range of financial products and services to a niche client base in three principal markets, the United Kingdom, South Africa and Australia, as well as certain other geographies. Investec’s strategic goals are motivated by the desire to develop an efficient and integrated business on an international scale through the active pursuit of clearly established core competencies in the group’s principal business areas.
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