Members of the Congress of South African Trade Unions (COSATU) marched to the South African Reserve Bank (SARB) headquarters in Pretoria on 17 September 2024 to demand lower interest rates and policy interventions to address the rising cost of living. The protest served as a focal point for a national day of action, with union members across multiple provinces voicing concerns over the impact of persistent economic stagnation on the working class.
Demands For Monetary Policy Reform
During the demonstration, union leadership presented a memorandum to SARB officials outlining grievances regarding current monetary policy. Protesters argued that the institution’s ongoing efforts to curb inflation through high interest rates have placed an unsustainable financial burden on households already struggling with high unemployment levels.
“The Reserve Bank is protecting the interest of the rich while the poor are suffocating under the high cost of living and high interest rates,” a COSATU representative stated during the event.
Participants highlighted that for many workers, the current economic climate has led to increased debt and limited household savings. A union member participating in the march noted: “We are demanding that the Reserve Bank must drop the interest rates because they are killing the economy and the working class.”
Economic Context And Labour Concerns
The march takes place against a complex background of South Africa’s macroeconomic challenges, including low growth and structural unemployment. As a significant partner within the governing alliance, COSATU has increasingly expressed dissatisfaction with fiscal and monetary approaches that they believe prioritise inflation targeting over active economic stimulation.
While the SARB maintains its independence in setting interest rates to ensure price stability, this protest underscores the mounting pressure on policymakers to find a balance between stable inflation and the immediate socio-economic needs of the labour market. The federation is expected to follow up on the memorandum to monitor the bank’s response to their submissions.