South Africa's policy rate on hold as Iran war seen pushing up inflation
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By Anathi Madubela
Published on March 26, 2026.
South Africa's central bank maintains its main lending rate at 6.75% amid concerns that the U.S.-Israel war will increase inflation. The decision was unanimously accepted by the Monetary Policy Committee of the South African Reserve Bank (S. ). South Africa's inflation was contained in the months prior to the conflict, but is expected to increase due to anticipated fuel price increases and a weaker exchange rate. The central bank expects headline inflation to reach around 4% soon, with fuel inflation expected to reach over 18%.
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