Across Africa, central banks continue to curb inflation without choking off economic growth.
As a result, monetary policy rates (MPRs) remain elevated across much of the continent, underscoring how costly borrowing still is for households and businesses.
From Zimbabwe’s exceptionally high 35% benchmark rate to The Gambia’s comparatively lower 16%, borrowing costs reflect differing degrees of inflationary pressure, currency fragility, fiscal stress, and structural constraints.
While several central banks have begun cautiously easing policy as inflation moderates, financial conditions remain tight by both historical and global standards.
Taken together, these policy stances highlight Africa’s uneven and fragile path toward price stability and more affordable credit.
Below are the African countries with the highest monetary policy rates as of December 2025.
- Previous: 21.75% | Last MPC Meeting: September 2025
Sierra Leone implemented a notable 300-basis-point rate cut in September 2025, lowering its policy rate to 18.75%. The move followed progress in inflation control and broader macroeconomic stabilization.
Improved fiscal balances, a more balanced trade position, and easing price pressures created room for accommodation. The rate remains unchanged in December 2025 as authorities prioritize sustaining macroeconomic gains while encouraging private-sector investment.
