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

On 23 September 2026 the South African Reserve Bank’s Monetary Policy Committee unanimously raised the repurchase (repo) rate by 25 basis points to 7.25%, lifting the prime lending rate to about 10.75% as the central bank cited rising fuel prices and inflation risks from global shocks.

A 25bp SARB hike tightens domestic policy, raising short- to medium-term ZAR funding costs and nominal yields, which can make ZAR assets relatively more attractive on a carry basis versus higher-beta African local-currency markets. Higher domestic rates increase borrowing costs for South African households and firms and may affect regional capital flows into ZAR versus other African currencies, depending on global risk sentiment and USD moves.

Next SARB policy meeting and upcoming monthly CPI prints for October–November 2026.