In short: The South African Reserve Bank’s policy rate (still widely called the repo rate) is 7%. The Monetary Policy Committee (MPC) kept it unchanged at its July 2026 meeting, after raising it by 25 basis points to 7% in May 2026. The next MPC interest-rate announcement is due 23 September 2026 (then 19 November 2026 on SARB’s calendar). Many banks’ prime lending rate sits about 3.5 percentage points above the policy rate — often 10.50% when the policy rate is 7% — but confirm the rate on your loan with your bank. Not financial advice.
Source: SARB Statement of the Monetary Policy Committee, July 2026.
What the repo / policy rate is
It is the rate the Reserve Bank uses when commercial banks borrow from it in the money market. When the MPC changes that rate, banks usually change the rates they charge on variable home loans, vehicle finance and many credit facilities, and the rates they pay on some savings products.
Current level (July 2026 MPC)
- Policy rate: 7% (held)
- May 2026: raised by 25 basis points to 7%, effective from 29 May (per the May MPC statement)
- Inflation context in the July statement: inflation at 5.0% in June; SARB’s inflation target is 3% (tolerance band ±1)
- Vote: four members preferred a hold; two preferred a further 25 basis point increase
Do not treat older consecutive-cut stories as current — the May 2026 decision was a hike.
How it affects you
- Home loans / credit linked to prime: if your rate tracks prime, a higher policy rate usually means higher instalments; a cut usually means lower ones. Your bank’s letter or app shows your actual rate.
- Savings and deposits: banks set these separately; they may move with the policy rate, but not always one-for-one.
- Fixed-rate products: may not change until the fixed period ends.
Next MPC dates
SARB lists the next interest-rate announcements after July 2026 as 23 September 2026 and 19 November 2026. Decisions are meeting-by-meeting — this page does not forecast a hike or a cut.
Where to check
Always use the live South African Reserve Bank MPC statements for the official rate. Your bank’s app or branch confirms your personal loan or savings rate.
Last checked: September 2026 against the SARB July 2026 MPC statement. Confirm on SARB. Not financial advice.