South Africa Interest Rate 1998-2015 | Data | Chart | Calendar | Forecast

The benchmark interest rate in South Africa was last recorded at 5.75 percent. Interest Rate in South Africa averaged 13.07 percent from 1998 until 2015, reaching an all time high of 23.99 percent in June of 1998 and a record low of 5 percent in July of 2012. Interest Rate in South Africa is reported by the South African Reserve Bank.

South Africa Interest Rate

Actual Previous Highest Lowest Dates Unit Frequency
5.75 5.75 23.99 5.00 1998 - 2015 percent Daily
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. Content for - South Africa Interest Rate - was last refreshed on Tuesday, April 21, 2015.

South Africa Leaves Repo Rate at 5.75%

South Africa's Reserve Bank left interest rates unchanged at 5.75 percent as expected on March 26th, yet it signaled that raise may be coming soon forced by increase in inflationary pressures.

 Excerpts from the statement by Lesetja Kganyago, Governor:

Trends in bank credit extension to the private sector have remained relatively unchanged, with highly divergent patterns in loans granted to the corporate and household sectors. While growth over twelve months in total loans and advances to the private sector measured 8,3 per cent in January, credit extended to corporates increased by 14,3 per cent while that to households increased by 3,5 per cent.

The recent higher trend in wage settlements has the potential to put further upside pressure on inflation. Nominal remuneration per worker over four quarters increased by 7,7 per cent in the fourth quarter of 2014, and, after accounting for changes in labour productivity, resulted in a unit labour cost increase of 6,2 per cent, up from 5,7 per cent in the previous quarter. 

The recent downward trend in consumer food price inflation is forecast to be reversed in the coming months, following the severe drought in some of the maize producing areas of the country. With drastically reduced maize crop estimates, South Africa is expected to become a net importer of maize during the year, and spot prices have moved closer to import parity. 

The respite to the headline inflation outlook from lower international oil prices appears to have been short-lived. However, the expected breach of the target range in 2016 is likely to be temporary and the main drivers of the deterioration of the inflation forecast are exogenous. While the MPC will look through these developments, the Committee remains concerned about the possible impact on inflation expectations which remain at the upper end of the target range over the longer term.

The rand exchange rate continues to be the main upside risk to the inflation outlook, and remains highly vulnerable to the timing and pace of US monetary policy normalisation. The extent to which US rate increases are priced into the exchange rate remains uncertain. While the weaker euro has provided some offset, and therefore a more moderate depreciation of the trade-weighted exchange rate, this effect is partial. Furthermore, the rand will also remain sensitive to domestic developments, including the slow pace of contraction in the deficit on the current account of the balance of payments.

The Committee assesses the risk to the inflation outlook to be on the upside, with the possibility of further electricity tariff increases accentuating this risk.  At the same time, the growth outlook remains constrained by electricity supply concerns and low business confidence, and the risks to the growth forecast are assessed to be moderately on the downside. Demand pressures on inflation remain muted, reinforced by a moderately tighter fiscal policy stance. In its previous statement the Committee noted that the more favourable inflation path allowed for some room to pause in the process of domestic monetary policy normalisation. The deterioration in the outlook suggests that this scope has narrowed. However, given the uncertainties related to US policy normalisation and the weak state of the domestic economy, the MPC has unanimously decided to keep the repurchase rate unchanged for now.

The timing of future interest rate increases will be dependent, as before, on a range of domestic and external factors. The MPC will remain vigilant and will not hesitate to act in order to maintain the integrity of the inflation targeting framework.

3/26/2015 5:46:32 PM

Recent Releases

South Africa Keeps Key Rate at 5.75%, Lowers Growth Forecast
South African Reserve Bank left its key repo rate on hold at 5.75 percent in January as inflationary pressures eased. The MPC also said that the bar for rate cuts remains high and would require a sustained decline in the inflation rate and inflation expectations and lowered the growth forecast for 2015 from 2.5 to 2.2 percent. Published on 2015-01-29

South Africa Holds Key Rate Steady
South African Reserve Bank left its key repo rate on hold at 5.75 percent in November as inflationary pressures eased and growth outlook remains weak. The central bank also revised down inflation and growth forecasts. Published on 2014-11-20

Calendar GMT Event Actual Previous Consensus Forecast (i)
2014-11-20 01:25 PM
Interest Rate Decision 
5.75% 5.75% 5.75%
2015-01-29 01:00 PM
Interest Rate Decision 
5.75% 5.75% 5.75% 5.75%
2015-03-26 01:00 PM
Interest Rate Decision 
5.75% 5.75% 5.75% 5.75%
2015-05-21 02:00 PM
Interest Rate Decision 
2015-07-23 02:30 PM
Interest Rate Decision 
2015-09-23 02:00 PM
Interest Rate Decision 

South Africa Money Last Previous Highest Lowest Unit
Interest Rate 5.75 5.75 23.99 5.00 percent [+]
Interbank Rate 5.71 5.67 23.50 1.58 percent [+]
Money Supply M0 203529.00 197809.00 209636.00 415.00 ZAR Million [+]
Money Supply M1 1259405.00 1239869.00 1299917.00 1482.00 ZAR Million [+]
Money Supply M2 2224560.00 2225488.00 2261052.00 2887.00 ZAR Million [+]
Money Supply M3 2744364.00 2720252.00 2744364.00 4796.00 ZAR Million [+]
Foreign Exchange Reserves 548514.00 551754.00 568524.00 153.00 ZAR THO Million [+]
Loans to Private Sector 2879152.00 2869123.00 2879152.00 4051.00 ZAR Million [+]
Banks Balance Sheet 4278431.00 4289102.00 4289102.00 114781.00 ZAR Million [+]
Central Bank Balance Sheet 623328.00 601175.00 626341.00 543.00 ZAR Million [+]

Interest Rate Reference Previous Highest Lowest Unit
Australia 2.25 Apr/15 2.25 17.50 2.25 percent [+]
Brazil 12.75 Mar/15 12.25 45.00 7.25 percent [+]
Canada 0.75 Apr/15 0.75 16.00 0.25 percent [+]
China 5.35 Mar/15 5.60 10.98 5.31 percent [+]
Euro Area 0.05 Apr/15 0.05 4.75 0.05 percent [+]
France 0.05 Apr/15 0.05 4.75 0.05 percent [+]
Germany 0.05 Apr/15 0.05 4.75 0.05 percent [+]
India 7.50 Apr/15 7.50 14.50 4.25 percent [+]
Indonesia 7.50 Apr/15 7.50 12.75 5.75 percent [+]
Italy 0.05 Apr/15 0.05 4.75 0.05 percent [+]
Japan 0.00 Apr/15 0.00 9.00 0.00 percent [+]
Mexico 3.00 Mar/15 3.00 9.25 3.00 percent [+]
Netherlands 0.05 Apr/15 0.05 4.75 0.05 percent [+]
Russia 14.00 Mar/15 15.00 17.00 5.00 percent [+]
South Korea 1.75 Apr/15 1.75 5.25 1.75 percent [+]
Spain 0.05 Apr/15 0.05 4.75 0.05 percent [+]
Switzerland -0.75 Mar/15 -0.75 3.50 -0.75 percent [+]
Turkey 7.50 Mar/15 7.50 500.00 4.50 percent [+]
United Kingdom 0.50 Apr/15 0.50 17.00 0.50 percent [+]
United States 0.25 Mar/15 0.25 20.00 0.25 percent [+]