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By: GARKO
Economic Anlaysts Forecasted in December that the New Year will be tough for the South African economy, with no end to high food and fuel prices in sight and, unfortunately, it looks like they are right South Africans were advised to be frugal by leading economists due to escalating food and petrol prices, high interest rates and the effects of the Nation South African inflation which climbed above 9 percent in February for the first time in almost five years, which added to speculation the central bank may resume raising interest rates. Despite the attempts of the Reserve Bank to lower inflation by raising interest rates four times in 2007 the inflation rate has kept rising . The rand's 15 percent slump against the dollar this year and a proposed 60 percent increase in electricity costs threatens to keep inflation above the target. All of this is giving the Central Bank a black eye and ruining their credibility because the numbers are increasing dramatically and they seem to not be able to control them. Governor Tito Mboweni said on March 19 the rand's drop will keep inflation above the target for longer than forecast. In January, the central bank forecast the inflation rate will peak at an average of 8.5 percent in the first quarter and drop within the target by the end of the year. We seem to be still going in the wrong direction and that is only hurting credibility of the banking institution. The inflation of the price of food is a different story, the main force which is propelling that is the international shift towards growing of crops for food to growing of the same crops for biofuel, especially in the US.. The increase in gasoline prices is largely due to increased demand from countries such as China and India and this is likely to continue. So what can the individual man or woman in South Africa do in order to survive these turbulent financial times? This, of course, is a question with many small answers, not one big one. One would be foolish to expect the answer to fall from the sky or from the oil corporations or from the government. It is up to individual problem solving and grassroots movements of new technologies. WATER4GAS is providing information for a nominal fee which individuals can use at home to put together a small assembly which instills hydrogen into the gasoline/air mixture that their automobile runs on. Using Water4Gas you can minimumly expect to lower your gas consumption by 30-50% or even more. With W4G gasoline is made usable so you can lower your gas consumption. It also helps reduce emissions significantly.The percentage of happy customers is about 99%! Isn’t it your turn now?
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