By: Justicia Shipena
Economists anticipate the Bank of Namibia’s Monetary Policy Committee (MPC) to maintain the repo rate at 7.75% due to the substantial rate difference compared to South Africa.
Robert McGregor, an economist at Cirrus Capital said after South Africa chose to maintain its repo rate at 8.25 percent, Namibia would not have room to manoeuvre around it since the two countries currency and economies are interlinked.
“Given that we still trail behind South Africa with 50 basis points. I believe that Namibia will maintain the repo rate at 7.75 percent. At this rate we don’t see that there is room for Namibia to cut given the differential with South Africa,” he said.
Comments