South Africa

Restrictive

Policy rate

7.00%

Last move May 2026

Inflation

3.21%

As of null

Real policy rate

3.79%

Policy rate less inflation

Debt to GDP

78.90%

2026 est.

Inflation target3%

Policy rate vs target+4 pp

Last move+25 bps hike

Months at current rate4

Real GDP growth1.00%

Next scheduled decisionNot published

Policy rate path, latest five years. Cycle peak 23.99% (Jun 1998).

The verdict

South Africa sets its policy rate at 7.00%, against inflation of 3.21% — a real rate of 3.79% after inflation. The most recent decision was a 25bp hike in May 2026. The rate has held there for about 4 months. The bank targets 3% inflation, and prices are running above that at 3.21%; the policy rate stands 4.00 percentage points above target. On the fiscal side, the economy carries government debt of 78.9% of GDP (2026 est.) and real GDP growth of 1.0%.

Sources: policy rate and cycle history — BIS central bank policy rates (WS_CBPOL); inflation — national statistical agencies; debt and growth — IMF World Economic Outlook. Methodology: https://www.globalfinancialinfo.info/methodology/policy-rates · Dataset: https://www.globalfinancialinfo.info/global-economy · Free to print and share for non-commercial classroom use (CC BY-NC-ND 4.0).

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