JOHANNESBURG - Heavily indebted consumers may need to lower expectations ahead of the interest rate decision.
Rates are widely expected to stay unchanged after a series of cuts since late last year brought relief to households.
Earlier forecasts pointed to more easing in 2026.
But escalating conflict in the Middle East and rising inflation risks are complicating that outlook.
Maarten Ackerman, Chief Economist at Citadel, said the world is very different compared to four weeks ago.
"We expected a number of potential rate cuts in 2026, and there are even analysts who say we can expect rate hikes," he said.
"We know that the higher oil and the weaker currency are going to have a significant impact on inflation."
Ackerman said secondary impacts like food inflation and fertiliser are causing high inflation expectations.
"With all that I mind, I think it will be very difficult for the Reserve Bank to cut at this point in time," he said.