Category Archives: Economic Research

The South African Reserve Bank kept interest rates unchanged at 5.75% in their September meeting, citing a marginally improved inflation outlook (despite high August inflation at 6.4%), coupled with an anemic growth outlook. The improved inflation outlook comes despite a weakening exchange rate vs the US dollar, on account of notable declines in global food and fuel prices.

The decision to keep rates unchanged was in line with expectations, and is viewed as a positive for the SA markets. Additionally, the decision means that the Bank of Namibia is less likely to hike rates at their next MPC meeting in October.

The full statement can be seen below:

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