SARB hikes repo 25bp to 7.25% on Sept 23, 2026

On 23 September 2026 the South African Reserve Bank’s Monetary Policy Committee raised the repo rate by 25 basis points to 7.25% (vote reported 6-0), moving prime to 10.75% and marking a further tightening of domestic monetary policy as inflation pressures persisted.

A 25bp repo increase directly lifts short-term funding costs in rand, repricing the domestic short and belly of the sovereign curve and increasing borrowing costs for corporates with ZAR funding. A firmer rand or renewed rand strength could partially offset external-service costs for corporates with USD or euro liabilities, but does not eliminate higher domestic refinancing pressure nor change the pass-through to prime lending rates on variable-rate credit.

Next MPC meeting on 19 November 2026 and upcoming CPI prints (Oct/Nov) that will shape further policy direction.