In the two decades prior to that, it ranged between 9,5 and 25,5 per cent. Small businesses often lack the financial reserves and facilities of the large business sector. Accordingly, large swings in interest rates and inflation can be far more crippling to the SMME sector.
It follows that keeping inflation low and stable, and therefore being in a position to prevent sharp swings in interest rates, is the contribution that the Bank can make to the financial health of the country and of SMMEs in particular.