South African Rand Firmer
2026-02-11 10:37
By
Luisa Carvalho
1 min. read
The South African rand traded around 15.8 per USD, near the highest level since June 2020, buoyed by elevated precious metals prices and a softer US dollar.
Gold, platinum, and palladium together account for roughly 20% of the country’s exports.
At the same time, the currency continued to be supported by positive domestic developments, including structural reforms, fiscal consolidation, credible monetary policy, and a stable governing coalition.
Nearly half of the reforms under Operation Vulindlela, aimed at tackling energy and freight constraints, are on track and should help boost growth this year and next.
For the past decade, South Africa’s economy has struggled to grow more than 1% per year, held back by corruption and decaying infrastructure.
Fiscal governance is also strengthening, aided by higher commodity prices and improved collections.
Meanwhile, the central bank kept its repo rate steady at 6.75% in January, signaling confidence in achieving the new inflation target.