Johannesburg - Capitec Bank, a provider of unsecured credit to low-income earners, fell the most in more than seven years yesterday after the government suggested capping interest rates and fees on loans.
Capitec fell more than any other lender on the JSE, dropping 7.81 percent to R425 by the close, the lowest since March.
The decline was the steepest since May 2008 in volumes exceeding 160 percent of the three-month daily average of shares traded.
In a notice published in the Government Gazette on July 3, the Department of Trade and Industry proposed cutting the maximum interest rate on unsecured credit to 24.78 percent.
Bloomberg