South Africa Interest Rate  1998-2017 | Data | Chart | Calendar | Forecast

The South African Reserve Bank unexpectedly left is benchmark repo rate steady at 6.75 percent on September 21st 2017, following a 25bps cut in July, mentioning economic uncertainties. Markets were expecting a 25bps cut. However, policymakers left the door open for further loosening in November, saying it would be appropriate to reassess the data and the balance of risks at the next meeting. Interest Rate in South Africa averaged 12.71 percent from 1998 until 2017, reaching an all time high of 23.99 percent in June of 1998 and a record low of 5 percent in July of 2012.

South Africa Interest Rate
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South Africa Leaves Key Rate at 6.75%


The South African Reserve Bank unexpectedly left is benchmark repo rate steady at 6.75 percent on September 21st 2017, following a 25bps cut in July, mentioning economic uncertainties. Markets were expecting a 25bps cut. However, policymakers left the door open for further loosening in November, saying it would be appropriate to reassess the data and the balance of risks at the next meeting.

Excerpts from the statement by Governor Lesetja Kganyago:

The Bank’s forecast for headline CPI inflation is unchanged at an annual average of 5.3% in 2017, and revised up by 0.1 percentage point to 5.0% and 5.3% in 2018 and 2019. A lower turning point of 4.6% is still expected in the first quarter of 2018. The same pattern is observed in the forecast for core inflation which is unchanged at 4.8% for 2017, but adjusted up to 4.9% and 5.0% for the next two years. 

The main drivers of these changes are a lower repurchase rate, a less appreciated exchange rate assumption, a slightly narrower output gap and a marginal adjustment to the food price forecast as meat prices continue to surprise on the upside. 

The domestic economic growth outlook remains constrained despite the higher-than-expected growth outcome of 2.5% in the second quarter of this year. This broad-based improvement, while welcome, is not expected to have a significant impact on the annual growth outcome. The Bank’s forecast for GDP growth for 2017 has been revised up marginally from 0.5% to 0.6%, while the forecasts for 2018 and 2019 have remained unchanged at 1.2% and 1.5%. 

The rand remains a key upside risk to the inflation outlook. Furthermore, some of the event risks, particularly those of a political nature, are now more imminent but with no greater degree of clarity regarding the outcome. The prospect of a further ratings downgrade persists, particularly given the increased fiscal challenges and political uncertainty. The narrower current account deficit and the global environment remain supportive of the rand. 

Although household consumption expenditure rebounded strongly in the second quarter, the MPC does not view this as indicative of the longer-term trend of expenditure, which is expected to remain constrained. The second quarter growth outcome, while positive, does not change our growth forecast significantly, and the outlook remains weak. The MPC assesses the risks to the revised growth forecast to be slightly on the downside. In light of these developments and the deteriorating assessment of the balance of the risks, the MPC has decided to keep the repurchase rate unchanged at 6.75% per annum. Three members preferred an unchanged stance and three members preferred a 25 basis point reduction. Ultimately the committee decided to keep the rate unchanged.

Given the heightened uncertainties in the economy, the MPC felt it would be appropriate to maintain the current monetary policy stance at this stage, and reassess the data and the balance of risks at the next meeting.

SARB | Joana Taborda | joana.taborda@tradingeconomics.com
9/21/2017 1:41:36 PM



Calendar GMT Actual Previous Consensus TEForecast
2017-05-25 01:00 PM Interest Rate Decision 7% 7% 7% 7%
2017-07-20 01:00 PM Interest Rate Decision 6.75% 7% 7% 7%
2017-09-21 01:20 PM Interest Rate Decision 6.75% 6.75% 6.5% 6.5%
2017-11-23 01:00 PM Interest Rate Decision 6.75% 6.75% 6.75%


South Africa Money Last Previous Highest Lowest Unit
Interest Rate 6.75 6.75 23.99 5.00 percent [+]
Interbank Rate 7.08 7.08 16.96 5.06 percent [+]
Money Supply M0 238525.00 235288.00 240465.00 415.00 ZAR Million [+]
Money Supply M1 1652874.00 1636840.00 1652874.00 1482.00 ZAR Million [+]
Money Supply M2 2682020.00 2644887.00 2682020.00 2887.00 ZAR Million [+]
Money Supply M3 3288122.00 3265368.00 3288122.00 4796.00 ZAR Million [+]
Banks Balance Sheet 5116427.00 5009515.00 5116427.00 114781.00 ZAR Million [+]
Foreign Exchange Reserves 48903.00 49384.00 51889.00 5316.00 USD Million [+]
Loans to Private Sector 3402580.00 3373455.00 3402580.00 4051.00 ZAR Million [+]
Deposit Interest Rate 7.17 6.15 18.86 5.15 percent [+]
Lending Rate 10.25 10.25 25.50 5.00 percent [+]
Central Bank Balance Sheet 769150.00 741210.00 801122.00 543.00 ZAR Million [+]


South Africa Interest Rate

In South Africa, the interest rates decisions are taken by the South African Reserve Bank’s Monetary Policy Committee (MPC). The official interest rate is the repo rate. This is the rate at which central banks lend or discount eligible paper for deposit money banks, typically shown on an end-of-period basis. This page provides - South Africa Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. South Africa Interest Rate - actual data, historical chart and calendar of releases - was last updated on November of 2017.

Actual Previous Highest Lowest Dates Unit Frequency
6.75 6.75 23.99 5.00 1998 - 2017 percent Daily




interest rate by Country
Country Last
Russia 8.25 Oct/17
Turkey 8.00 Oct/17
Brazil 7.50 Oct/17
Mexico 7.00 Nov/17
India 6.00 Oct/17
China 4.35 Oct/17
Indonesia 4.25 Nov/17
Australia 1.50 Nov/17
South Korea 1.25 Oct/17
United States 1.25 Nov/17
Canada 1.00 Oct/17
United Kingdom 0.50 Nov/17
Euro Area 0.00 Oct/17
France 0.00 Oct/17
Germany 0.00 Oct/17
Italy 0.00 Oct/17
Netherlands 0.00 Oct/17
Spain 0.00 Oct/17
Japan -0.10 Oct/17
Switzerland -0.75 Oct/17