Central Bank Rate Reductions in Namibia and Zambia
August 19, 2020
The Bank of Namibia’s repo rate was reduced by 25 basis points to a record low of 3.75%. This was the fifth cut since February, bringing the total drop since then to 275 basis points. The latest change matches the size of last month’s reduction at the South African Reserve Bank and will help maintain the Namibian currency’s parity with the rand.
The Bank of Zambia’s monetary policy rate was lowered 125 basis points to 8.0%. There had been one large 225-basis point cut done earlier in May. Officials noted a significant worsening of economic conditions last quarter related to the Covid-19 pandemic.
Copyright 2020, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: Bank of Namibia, Bank of Zambia
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