The main refinancing rate – the rate at which banks can borrow money over the short term from the central bank and which is perceived by the public as the “key rate” – now stands at 0.25%.
As such, the Financial Stability Board undertook a fundamental review of major interest rate benchmarks. In line with global developments, the SARB established the MPG following the publication of the ‘Consultation paper on interest rate benchmarks in South Africa’.