JOHANNESBURG - A decision of the South African Reserve Bank this week could affect the pockets of millions of South Africans.
The Bank will make a pronouncement on interest rates on Thursday.
In May, the Reserve Bank hiked interest rates for the first time in three years.
That brought the benchmark repo rate to 7%.
The Prime lending rate used by South African banks to price home and car loans rose to 10.5%.
READ | Reserve Bank warns of possible ‘food shock’ as repo rate increases
Before then, rates had been falling.
Between late 2024 and late last year, the bank cut interest rates six times.
More of the same was expected this year, but then Israel and the US attacked Iran, and the war has led to inflation.
Oil prices are rising again with the ceasefire between the US and Iran failing to hold.
But some economists believe the Reserve Bank may keep interest rates unchanged.