# Bank of Namibia monetary policy adjustments

> Developing situation record from CLSTR: https://clstr.news/situations/bank-of-namibia-monetary-policy-adjustments
> Updated: 2026-10-27T04:10:17.000Z. Sources: 7. Developments: 2.

In late October 2026, the Bank of Namibia addressed rising inflationary pressures and economic vulnerabilities. Initially, analysts anticipated a 25 basis point increase to the benchmark repo rate to combat accelerating inflation, rising oil prices, and a widening trade imbalance that threatened foreign exchange reserves.

Following a meeting of the Monetary Policy Committee, the Bank of Namibia officially raised the repo rate by 25 basis points to 7.00%, which increased the prime lending rate to 10.50%. Governor Ebson Uanguta stated the decision aimed to reduce the interest rate gap between Namibia and South Africa to prevent capital outflows and protect the Namibian dollar’s peg to the South African rand. The central bank noted that inflation had reached 5.4% in September 2026, primarily due to increased fuel and transport costs. This policy shift occurred alongside a downward revision of Namibia’s 2026 growth forecast from 3.1% to 2.3%.

## Timeline

### 2026-10-27: Bank of Namibia raises repo rate to 7%

The Bank of Namibia has raised its repo rate to 7% and the prime lending rate to 10.5% to curb inflation and maintain the currency peg with the South African Rand.

5 sources. https://clstr.news/cluster/bank-of-namibia-raises-repo-rate-to-7

### 2026-10-25: Bank of Namibia expected to raise repo rate to 7%

The Bank of Namibia is expected to raise its repo rate to 7% to combat inflation and protect the currency, amid discussions between the central bank and the presidency regarding economic stability.

3 sources. https://clstr.news/cluster/bank-of-namibia-expected-to-raise-repo-rate-to-7

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Cite as: Bank of Namibia monetary policy adjustments. CLSTR, https://clstr.news/situations/bank-of-namibia-monetary-policy-adjustments