JOHANNESBURG - South African Reserve Bank (Sarb) Governor Lesetja Kganyago on Thursday announced that the repo rate will be reduced to 6.25%.
The repo rate is the rate at which the central bank lends money to commercial banks.
The MPC decided to reduce the repurchase rate by 25 basis points to 6.25% per annum. pic.twitter.com/NgAESaShWj— SA Reserve Bank (@SAReserveBank) January 16, 2020
The decision follows this week's Monetary Policy Committee meeting.
In July last year, the bank reduced the repo rate by 25 basis points to 6.5% and it was kept unchanged in September and November.
The prime lending rate, the figure charged by banks to customers, has been cut to 9.75%.
This article first appeared on EWN : Kganyago announces repo rate cut to 6.25%