These fund withdrawals not only forced interest rates to higher levels, but also created turmoil in the foreign exchange markets. A return of stability to these markets will pave the way for lower interest rates in South Africa, and in many other affected countries of the world.
For any individual country such as South Africa to try to break out of these shackles at this stage will be almost impossible, unless impenetrable brick walls will be constructed around the South African economy to isolate it from the rest of the world. 4. Can South Africa survive with these high interest rates?