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SARB Hikes Repo Rate to 7.25% Amid Global Shocks
The unanimous move follows renewed fuel-price pressure and global uncertainty, with headline inflation expected to stay above 5% later this year, the SARB said.
- On Wednesday, the South African Reserve Bank raised its benchmark repo rate to 7.25% and the prime lending rate to 10.75%, following a unanimous Monetary Policy Committee decision.
- Renewed fuel-price pressures and geopolitical conflicts in the Middle East prompted the increase, as the SARB said such shocks "weaken output and raise inflation."
- SARB Governor Lesetja Kganyago noted that headline inflation will likely remain above 5% this year, while the economy contracted 0.2% in the second quarter, pressuring growth toward a 3% target by 2027.
- Higher rates will increase monthly repayments for households with variable-rate home loans, car finance, and credit-card debt, though savers may benefit from improved returns on certain products.
- The MPC will hold its final interest-rate decision of 2026 on Thursday, November 19, with future policy adjustments remaining dependent on incoming economic data and the inflation outlook.
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South Africa: IFP Notes Sarb Interest Rate Hike Amid Continued Pressure On South African Households
Press Release - The Inkatha Freedom Party (IFP) notes the decision by the South African Reserve Bank's Monetary Policy Committee (MPC) to increase the policy rate by 25 basis points from 7% to 7.25%.
·Washington, United States
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SARB hikes repo rate to 7.25% amid global shocks
South Africa’s repo rate is heading higher after the South African Reserve Bank (SARB) Monetary Policy Committee (MPC) increased the policy rate by 25 basis points, effective from 25 September, Cape {town} Etc reports. The policy rate will rise to 7.25%, up from 7% at the previous MPC meeting. The decision was unanimous, according to the SARB’s announcement on X.... Read more →
South Africa raises interest rate, citing Iran war price shocks
·London, United Kingdom
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Coverage Details
Total News Sources16
Leaning Left1Leaning Right0Center5Last UpdatedBias Distribution83% Center
Bias Distribution
- 83% of the sources are Center
83% Center
L 17%
C 83%
Factuality
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