Bank of Namibia raises repo rate 25bp to 7.00% to defend peg and curb second‑round inflation
On 28 October 2026 the Bank of Namibia’s Monetary Policy Committee unanimously increased the repo rate by 25 basis points to 7.00%, raising the prime rate to 10.50% to help safeguard the Namibia dollar’s peg to the South African rand and limit second‑round inflation from higher fuel prices.
The desk brief
On 28 October 2026 the Bank of Namibia’s Monetary Policy Committee unanimously increased the repo rate by 25 basis points to 7.00%, raising the prime rate to 10.50% to help safeguard the Namibia dollar’s peg to the South African rand and limit second‑round inflation from higher fuel prices.
The hike narrows the interest‑rate gap with South Africa and is intended to reduce capital outflow pressure and protect Namibia’s reserves supporting the NAD‑ZAR one‑to‑one peg. Domestically, higher policy rates raise borrowing costs and can dampen credit growth and demand, moderating inflation if pass‑through occurs; actual FX and sovereign spread moves will depend on South African policy and external conditions.
Next MPC meeting scheduled for 7–8 December 2026 (Bank of Namibia).
Sources & verification
Developing storyDeveloping story supported by 2 independent public publishers; further confirmation is being sought.
- Office Use Only\General Date: 28 October 2026 Attention: News Editor Ref: 9/6/2 REPO RATE INCREASED BY 25 BASIS POINTS TO 7.00 PERCENT On 26 and 27 October 2026, the Monetary Policbon.com.na (opens in a new tab)
- Namibia raises key interest rate to cushion second-round effects from high fuel prices | CNBC Africacnbc.comSource published (opens in a new tab)
Public references supporting this brief.