US Fed increases interest rates: Will SA households feel the pain next week?
Sarb will announce its next interest rate decision on 23 September 2026.
The US Federal Reserve has increased interest rates by 25 basis points to a target range of 3.75% to 4%, signaling a shift in global monetary policy. South African households are not expected to face another rate hike from the South African Reserve Bank (Sarb) next week, as economists anticipate the central bank to maintain the repo rate unchanged.
Experts believe that while the Fed's decision may not significantly impact the Reserve Bank, it provides relief for South African households, as inflation expectations have eased or remained contained. The Bureau of Economic Research (BER) survey indicates that inflation expectations for the current year and over five years are either unchanged or lower, suggesting a potential easing of prices for goods and services.
This positive outlook for inflation could further support the Reserve Bank's decision to keep the repo rate steady.
Brief written by urgent.news from The Citizen's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
- CNA Explains: Why is the Fed raising interest rates again - and what does it mean for Asia? channelnewsasia.com
- Fed raises interest rates by 0.25 percentage points. thecorner.eu
- Trump blasts Fed over interest rates cbsnews.com
- The Fed raises interest rates. And, EU proposes Canada become an 'associate member' npr.org
- Why the Bank of England Didn’t Follow the Fed in Raising Interest Rates wsj.com
