Across Africa, central banks are walking a tightrope between curbing inflation and stimulating growth, with policy rates revealing just how costly it remains to borrow on the continent.
From Zimbabwe’s punishing 35% benchmark rate to Liberia’s relatively moderate 16.25%, borrowing conditions mirror each country’s economic fragility in 2025.
The varying monetary stances reflect local battles against inflation, currency depreciation, and fiscal strain.
Together, they paint a clear picture of Africa’s uneven progress toward price stability and credit accessibility.
Below are the African countries where it is most expensive to borrow money.
Aug-Sept – 35.00% (unchanged)
Zimbabwe remains the most expensive country to borrow money in Africa, with its benchmark policy rate held at an extremely high 35% since mid-2024. The rate has been steady through August, September, and October 2025, as the Reserve Bank of Zimbabwe (RBZ) continues its battle against persistently high inflation and exchange rate instability.
The introduction of the ZWG (Zimbabwe Gold) currency in April 2024 brought temporary calm to price movements, but inflation remains among the highest globally, estimated at around 32.7% (October 2025). The Reserve Bank of Zimbabwe’s (RBZ) tight stance reflects efforts to curb money supply growth, stabilize the new currency, and contain inflationary expectations amid fiscal pressures and a challenging external environment.
Frequent policy shifts, weak investor confidence, and currency depreciation risks continue to define Zimbabwe’s macroeconomic space. With limited access to external financing and long-term fiscal deficits, domestic borrowing costs are pushed up further, making Zimbabwe the continent’s costliest credit market.
