Question: When inflation rate is expected to exceed the target rate by a significant margin, the SARB will: Select one: A. Reduce the cost of credit
When inflation rate is expected to exceed the target rate by a significant margin, the SARB will:
Select one:
A. Reduce the cost of credit to banks
B. Increase the repurchase rate (repo rate)
C. Purhase government bonds on the open market
D. decrease the repo rate
E. use moral suasion to pursuade banks to provide more loads to their clients
Please advise
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