Namibians will have to tighten their belts even more as the central bank lifts the repo rate by another 50 basis points.
The repo rate now stands at 7.5%, up from 7.25%.
The central bank says that, since the last Monetary Policy Committee (MPC) meeting, inflation has remained elevated but generally moderated, with the exception of the US Federal Reserve, the Bank of England, the European Central Bank, and the South African Reserve Bank.
The Governor of the Bank of Namibia, Johannes !Gawaxab, states that safeguarding the peg agreement with South Africa is crucial to maintaining stability and mitigating potential adverse effects on the economy.
!Gawaxab says the Bank of Namibia remains mindful of citizens' concerns, hence its commitment to implementing monetary policy decisions in a reasonable and cautious manner, ensuring that their actions do not adversely impact the Namibian economy.