The Bank of Namibia’s monetary policy committee has decided to increase the repo rate by 50 basis points to 7,75% with immediate effect.
This brings the prime rate to 11,50%. Namibia is now 50 basis points behind South Africa and at par with other common monetary area countries – Lesotho and Eswathini.
This is the third time the benchmark is being edged up this year.
The latest announcement by the bank’s governor Johannes !Gawaxab comes after the South African Reserve Bank hiked their repo rate to 8,25% last month.
Repo rate is the rate at which commercial banks borrow money from the central bank of a country.
During the previous announcement two months ago, the deciding committee opted to increase the benchmark interest rate to 7,25%.
At that repo rate, the prime lending rate stood at 11,00% – the highest it has been in a long time.
In an age of information overload, Sunrise is The Namibian’s morning briefing, delivered at 6h00 from Monday to Friday. It offers a curated rundown of the most important stories from the past 24 hours – occasionally with a light, witty touch. It’s an essential way to stay informed. Subscribe and join our newsletter community.
The Namibian uses AI tools to assist with improved quality, accuracy and efficiency, while maintaining editorial oversight and journalistic integrity.
Stay informed with The Namibian – your source for credible journalism. Get in-depth reporting and opinions for
only N$85 a month. Invest in journalism, invest in democracy –
Subscribe Now!
