Hi Francois What are your interest rate expectations for the next few years? I’m especially interested in rate estimates till September 2011. Regards, Zafreen Hi Zafreen I wish I could say with certainty what will happen with the economy, inflation and interest rates over the next two years, but unfortunately the best I can do [...]
The latest interest rate cut by the SARB brings interest rates down to the lowest level they’ve been in 28 years. The prime interest rate is currently touching a 28-year low, which was equaled briefly in April 2005. Before that the last time South Africa had interest rates lower than what we have now was [...]
The SARB‘s monetary policy committee (MPC) announced today that they’ve decided to lower the repo rate by another 50 basis points. The latest rate cut brings the repo rate down to to 7.0% and the prime interest rate down to 10.5%. The move comes as a surprise to many economists who believed that no further [...]
I receive a lot of emails asking about the current inflation and interest rates. So I decided to create a few widgets. You can use these widgets if you want to display the current interest rates, inflation rates and/or GDP growth rates on your own blog or website. The widgets automatically fetch the latest figures [...]
The SARB‘s monetary policy committee (MPC) announced today that they’ve decided to leave the repo rate unchanged at 7.5%. Their decision means that the prime interest rate will remain at 11%. Most people (including myself) expected a 50 basis point cut. The SARB‘s decision is unexpected, but can be justified. Even though the latest PPI [...]
The repo rate has been lowered to 7.5%. The SARB‘s monetary policy committee (MPC) announced today that they’ve decided to cut rates by another 100 basis points. This is the fifth consecutive cut to the repo rate. The repo rate has been lowered by a total of 450 basis points, after peaking at 12%, in [...]
The repo rate (repurchase rate) is the interest rate at which commercial banks can borrow money from the Reserve Bank. Repo rate South African banks in the private sector, like ABSA, Standard Bank, FNB and Nedbank, can borrow money from the South African Reserve Bank (SARB). The repo rate is the interest rate SARB charges [...]
The prime interest rate, prime lending rate, or prime overdraft rate, is a reference interest rate commercial banks use when issuing variable interest rate loans to their customers. Prime interest rate When you borrow money from a bank, the interest rate that you will be charged by the bank, is usually specified in terms of [...]
The definitions I’ll cover in this post are: interest interest rate compound interest nominal interest rate effective interest rate Interest is a fee, for the privilege of using borrowed money.
We are very likely to see a few interest rate cuts coming our way during 2009 in South Africa. So use your extra cash from interest rate cuts (and any other source for that matter) wisely, pay off your debt and become financially free!
