Reserve Bank leaves repo rate unchanged at 7%
Today's announcement means that the central bank's Monetary Policy Committee has left rates unchanged at 7% since March last year.
PRETORIA - South African Reserve Bank (Sarb) governor Lesetja Kganyago has announced that the repo rate will remain unchanged at 7%.
The prime lending rate, which is the figure charged by banks to customers, will remain at 10.5%.
The central bank's Monetary Policy Committee has left rates unchanged at 7% since March last year.
Kganyago says inflation is expected to return to within the target range of 3% to 6% soon, but the rand is a problem.
“The MPC assesses the risks of the inflation outlook to be moderately on the upside, mainly due to the high degree of the exchange rate uncertainty.”
He says political developments have impacted on the rand, and the MPC is concerned about the fluctuating currency.