- African central banks from South Africa to Egypt hold interest rates high for longer to insulate their economies from shocks including surging energy prices caused by the Iran war.
- Of the 11 central banks due to deliver rate decisions over the next two weeks, seven hold, three hike, and one cuts.
- Currency support is a stated secondary motive for keeping policy rates elevated.
Quotes
“African central banks from South Africa to Egypt are poised to keep their interest rates high for longer, seeking to shield their economies from shocks such as surging energy prices caused by the Iran war and to support their currencies.”