The Monetary Policy Committee of the Bank of Namibia has again decided to keep its repo rate unchanged at 7.5%.

The Bank of Namibia says the decision follows a comprehensive review of global, regional, and domestic economic developments.

The repo rate is the rate at which commercial banks borrow money from Namibia's Central Bank.

The decision to keep the repo rate unchanged is aimed at safeguarding the peg of the Namibian dollar with the South African Rand and supporting the domestic economy.

"Let us look at what drove this decision. Namibia's real GDP growth slowed during the second quarter of 2023, but economic activity remained firm year-to-date. Inflation edged up in September 2023, while Private Sector Credit Extension (PSCE) growth remained weak. The merchandise trade deficit improved, and the stock of international reserves remained sufficient to support the currency peg and meet the country's international financial obligations."