UASA Media Release: 26 March 2026
Statement by Abigail Moyo, spokesperson of the trade union UASA:
The South African Reserve Bank (SARB) today announced that its Monetary Policy Committee (MPC) has unanimously decided to keep the repo rate unchanged at 6.75%, with the prime lending rate remaining at 10.25%.
The SARB highlighted several factors influencing its decision. Chief among these are the continued volatility of the rand, rising oil prices, and mounting global economic uncertainty, particularly the geopolitical tensions in the Middle East, all of which contributed to supply shocks, raising prices and undermining demand in the South African economy.
Lenders are expected to hold rates steady to manage inflation risks, with the SARB emphasising its commitment to prudent monetary policy amid the current uncertainty.
The MPC’s decision is intended to balance inflation risks, as the committee warned of elevated inflation and proceeded cautiously in rate-setting. SARB Governor Lesetja Kganyago said a prudent approach is appropriate as the coming months will be crucial for assessing the longer-term inflation consequences.
Workers will be affected by today’s MPC decision, with no immediate relief for mortgages or vehicle financing, and no decrease in monthly credit card debt instalments. While the decision aims to stymie inflation driven by high oil prices and a weaker currency, daily expenses, particularly fuel and food, are expected to remain high, heightening the financial burden of the average South African and suppressing consumer spending.
For further enquiries or to set up a personal interview, contact Abigail Moyo at 065 170 0162.