Nigeria holds the third highest interest rate in Africa at 27.5%, as Zimbabwe leads with 35%

Key takeaways

  • Zimbabwe has the highest benchmark interest rate in Africa at 35%, exceeding Ghana, the second highest, by 7% points.
  • Nigeria holds the third highest interest rate on the continent at 27.5%, just 0.5% points behind Ghana, signalling aggressive policy intervention.
  • Zimbabwe, Ghana, Nigeria, Malawi, and Egypt have interest rates above 25%, showing a regional pattern of tight monetary conditions.
  • There is a significant drop of over 5% points between Sierra Leone at 24.75% and Angola at 19.5%, marking a clear shift to lower-rate economies below the top tier.

As of March - April 2025, several African central banks have tightened monetary policy significantly in response to persistent inflationary pressures and currency instability. Zimbabwe leads the continent with a benchmark interest rate of 35%, followed by Ghana at 28% and Nigeria at 27.5%. These figures underscore aggressive policy stances aimed at controlling inflation and stabilising macroeconomic conditions. Notably, five of the top ten countries have rates above 25%, reflecting a broader trend of monetary tightening across key African economies.

The data reveals a sharp contrast between the top and bottom of the list. While Sierra Leone rounds out the top seven at 24.75%, there’s a steep drop to Angola at 19.5% and further down to Liberia and Gambia, both at 17%.

Source:

Trading Economics

Period:

March - April 2025
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