The Bank of Namibia has announced the maintenance of the repo rate at 7.75 percent, a decision coming on the heels of the recent drop in local fuel prices.

This move is expected to bring a sigh of relief across the nation amid economic challenges.

Central bank Governor Johannes !Gawaxab, at the year's sixth Monetary Policy announcement, explained the decision as based on supporting the domestic economy and safeguarding the one-on-one peg between the Namibian dollar and the South African Rand.

The repo rate will remain unchanged at 7.75% for the upcoming two months.

This announcement was made by Bank of Namibia (BoN) Governor Johannes !Gawaxab during the monetary policy declaration at Oshakati.

The Bank's Monetary Policy Committee held its bi-monthly meeting on the 14th and 15th of August this year and decided on the appropriate monetary policy stance to be implemented over the next two months.

The decision was taken to uphold the stability of the peg between the Namibian dollar and the South African Rand and to bolster the domestic economy.