Africa food prices, SARB resignation, Zambia bond deal

Inflation across Africa has been falling back recently, but persistent food price pressures pose a threat to policymaker’s ambitions to start cutting interest rates. In South Africa, the resignation of SARB Deputy Governor Kuben Naidoo raises the risk of a rate hike at November’s MPC meeting. Still, his departure may allow the ANC to tilt the balance of the MPC in their favour ahead of next year’s elections. Elsewhere, Zambia finally concluded three-year-long debt talks with creditors this week. China’s role as a creditor has clearly made these talks take longer, a risk for those who could next default across the continent.