Rand expected to continue its rally in Level 3
We can expect to see the stronger Rand continuing its rally when more sectors resume operations in Level 3 lockdown.
The currency's current gains can be attributed to the easing of lockdown restrictions in parts of the world.
Efficient Group Chief Economist, Dawie Roodt says this is not a surprise.
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But Roodt stresses that the Rand's medium to long-term prospects aren't so promising.
"The South African Rand is a very volatile currency, and I think that the reality is that everybody realises that South Africa has significant economic problems and that simply means that over time the Rand will depreciate as well, but in the short-term anything is possible."
The move to Level 3 means millions of South Africans will be returning to work on 1 June, kick-starting an economy that was interrupted by the measures government put in place to deal with the COVID-19 pandemic.
But experts warn that thousands of jobs will still be lost as a result of the country's economic situation even before the coronavirus pandemic hit.
