Namibia raises key rate to ward off second-round effects from high fuel prices
TLT•The Bank of Namibia raised its repo rate by 25 basis points to 7.00% to mitigate second-round effects from high fuel prices and safeguard the currency peg with South Africa’s rand. Inflation accelerated to 5.4% year on year in September, its highest level since January 2024.
1. Rate increase
The Bank of Namibia raised its repo rate by 25 basis points to 7.00% on Wednesday, citing the need to mitigate second-round effects from high fuel prices and safeguard the country’s currency peg with South Africa’s rand. Inflation reached 5.4% year on year in September, its highest level since January 2024.
