Low oil prices are generally regarded as positive for consumers because it translates into lower transport costs. It is also good for oil-importing countries, like South Africa, from a trade balance perspective and therefore may have a positive impact on their currencies and economic growth. Lower transport prices and a stronger currency could translate into a more benign inflation profile, which will, in turn, allow central banks to keep interest rates lower for longer – another positive for consumers. But this is not good news for everyone. For more, we speak to Edgar Mafoko, Investment Portfolio Manager at FNB Wealth and Investments
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