South Africa’s Reserve Bank has held its repo rate steady at 6.75%, citing mounting global uncertainty as the primary driver behind the decision. The bank pointed to surging oil prices linked to the Middle East conflict as a key factor likely to push inflation upward in the near term. Governor Lesetja Kganyago noted, however, that any spike in inflation is expected to be short-lived, with the rate projected to ease back towards the 3% target over time.
Speaking to VOC News, economist Ulrich Joubert noted that the prime lending rate, which affects South Africans, remains at 10.25%.
“This means there are no changes in the overdraft rate, prime lending rate, or the rates you pay on your credit card, housing loan, or car loan for now,” explained Joubert.
Photo: @SAReserveBank/X [screenshot]
