There are downside risks to growth, including: a) Lower external demand due to a depressed global economy. b) Political and policy uncertainty, which are very elevated in several major economies with global growth continuing to be biased downwards. Already, the probability for a global recession is very high.
Page 2 of 5  c) Climate change which will increase uncertainty of weather patterns and constrain the agricultural sector. Domestic inflation remains subdued, with the annual headline and core inflation averaging 2.7 per cent and 3.7 per cent, respectively, in the quarter to August 2019.