The Number of the Day is 25 basis points, which is the size of the interest rate cut made by the South African Reserve Bank today. The repo rate has moved down after a long period of holding steady, marking a possible shift in the monetary policy cycle.
Business Anchor Melissa Tighy is joined by FNB Senior Economist Koketso Mano to unpack the decision. They explain what may have influenced the Monetary Policy Committee, how inflation has behaved over recent months, and why the cut is considered modest but meaningful. They also look at what this means for home loans, credit costs, and the wider economy.
The conversation covers how the Bank balances inflation risks with the need to support growth, and why timing matters when moving into an interest rate easing cycle. The 25 basis point cut is small, but it signals that the Reserve Bank sees enough progress on inflation to begin reducing rates.
This is a clear and simple guide to what the cut means for households and businesses.
