June 2021 – Note on the changes in bank deposit and lending rates since the onset of the COVID-19 pandemic
Last Modified Date:
2021-07-05, 02:44 PM
Quarterly Bulletins > Articles and Notes | What's New
The South African Reserve Bank’s (SARB) Monetary Policy Committee (MPC) has lowered the repurchase (repo) rate by a cumulative 275 basis points since announcing a rate of 6.25% on 17 January 2020 through four consecutive reductions, from March to June 2020, to mitigate against the economic impact of the coronavirus disease 2019 (COVID-19). The private sector banks followed these reductions in the repo rate, and adjusted their weighted average deposit and lending interest rates lower in broad alignment with the repo rate while also tightening credit standards.