Economist Halleluya Ndimulunde

Repo cut to revive consumer spending

Repo cut to revive consumer spending

CHAMWE KAIRA Economist Halleluya Ndimulunde believes that a reduction in the repo rate generally leads to lower borrowing costs for both households and businesses. The Simonis Storm Security economist said in the aftermath of Bank of Namibia cutting the interest rate by 25 basis points down to 7.50%, that this may encourage a revival in private sector credit extension, which has been subdued, as confidence in a less restrictive monetary policy environment grows. “Overall, this rate cut is likely to stimulate economic activity by improving access to credit, thereby supporting increased spending and investment across the economy,” said Ndimulunde. Additionally,…
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