South Africa Set to Cut Key Rates as Tariff Details Awaited

The South African Reserve Bank is poised to extend its longest easing cycle since 2019 on the eve of stiffer US trade tariffs, which are likely to weigh on the country’s already sluggish economic growth.

Most economists in a Bloomberg survey expect Governor Lesetja Kganyago to reduce the benchmark interest rate to 7% from 7.25% when he delivers the announcement shortly after 3 p.m. on Thursday at a press briefing north of Johannesburg. Traders are pricing in an 84% chance of a quarter-point cut.