Latest bank decision: At its meeting on 26 March, the Central Bank decided to cut the target for the overnight...
SARB Repo Rate in South Africa
The South African Reserve Bank's policy rates over the last decade reflected the country's economic challenges. Initially, rates were increased to combat inflation and stabilize the Rand. However, in 2020, in response to the COVID-19 economic fallout, rates were significantly reduced to historic lows to support economic growth. By 2022, as the economy began recovering and inflationary pressures emerged, the central bank started increasing rates, before mild monetary easing in 2024.
The sarb repo rate ended 2024 at 7.75%, compared to the end-2023 value of 8.25% and the figure a decade earlier of 5.75%. It averaged 6.30% over the last decade. For more interest rate information, visit our dedicated page.
South Africa Interest Rate Chart
Note: This chart displays Policy Interest Rate (%) for South Africa from 2014 to 2025.
Source: Macrobond.
South Africa Interest Rate Data
| 2021 | 2022 | 2023 | 2024 | 2025 | |
|---|---|---|---|---|---|
| SARB Repo Rate (%, eop) | 3.75 | 7.00 | 8.25 | 7.75 | 6.75 |
| 3-Month JIBAR (%, eop) | 3.85 | 6.50 | 8.43 | 7.71 | 6.84 |
| 10-Year Bond Yield (%, eop) | 9.82 | 11.30 | 11.33 | 10.32 | 9.03 |
Central Bank holds fire in January
SARB pauses loosening cycle—again: At its meeting on 29 January, the Monetary Policy Committee (MPC) of the South African Reserve Bank (SARB) paused its loosening cycle, holding its repo rate at 6.75%. The hold followed a 25 basis point cut in November last year and was not unanimous: Two of the six committee members preferred another 25 basis point reduction; markets had largely anticipated the pause.
Inflation expected to slow in the near term: The SARB stated that, while inflation ended 2025 at 3.6%—above the 3.0% target—it attributed this to temporary factors and sees inflation as having peaked and slowing ahead. The SARB’s 2026 headline and core inflation expectations improved from its last meeting in November 2025 on assumptions of a stronger rand and lower oil prices. That said, the Bank wanted to be cautious and keep an eye on energy and food prices, particularly meat, following the outbreak of foot and mouth disease. Additionally, the Bank noted that geopolitical tensions remain elevated, diminishing the case for another rate reduction.
Rate to end 2026 slightly higher than envisioned in November: The SARB provided no explicit forward guidance. However, the Bank’s forecasts for its end-year repo rate level were more hawkish than at its last meeting in November: The Bank now sees its repo rate ending 2026 slightly above 6.25%—in November it forecasted the repo rate to end this year slightly below 6.25%—which largely mirrors our Consensus of 6.25%. The SARB is set to reconvene on 26 March.
Consensus Forecasts and Projections for the next ten years
How should you choose a forecaster if some are too optimistic while others are too pessimistic? FocusEconomics collects South African interest rate projections for the next ten years from a panel of 13 analysts at the leading national, regional and global forecast institutions. These projections are then validated by our in-house team of economists and data analysts and averaged to provide one Consensus Forecast you can rely on for each indicator. By averaging all forecasts, upside and downside forecasting errors tend to cancel each other out, leading to the most reliable interest rate forecast available for South African interest rate.
Download one of our sample reports to visualize what a Consensus Forecast is and see our South African interest rate projections.
Want to get access to the full dataset of South African interest rate forecasts? Send an email to info@focus-economics.com.
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