The Reserve Bank has decided to keep the repurchase (repo) rate unchanged at 7,0 per cent per annum.

The Monetary Policy Committee (MPC) noted that inflation is likely to remain close to the upper end of the target range over the forecast period, and is of the view that the risks to this outlook are fairly evenly balanced. Electricity price increases pose the biggest upside risk, counteracted by the weak state of domestic demand.

Against this background the MPC has decided to keep the repo rate unchanged.