Highest Central Bank Interest Rates in Africa in 2025: Ranking the Top 10 Nations

In the world of economics, interest rates play a crucial role in shaping a nation's financial landscape. Africa, a continent rich in resources and diverse cultures, is no exception. Let's take a look at the current interest rate landscape across several African countries.

Egypt, a nation with a strong and diversified economy, has made a significant move by reducing its overnight deposit rate to 25% in April 2025. This marks the first cut in over five years, a decision aimed at stimulating economic growth and investment.

On the other hand, the Republic of Congo has set its central bank interest rate at 25% to address inflationary trends and support the national currency. Meanwhile, Angola increased its benchmark interest rate to 19% in March 2024 to counteract currency depreciation and rising fuel prices.

Ghana, resource-rich with gold, cocoa, and oil as major exports, has maintained its policy rate at 27% since early 2024 despite rising inflation. The Reserve Bank of Zimbabwe recently lowered its key interest rate by 100 basis points to 17%, although a reduction of 200 basis points had been expected; no specific future date for another rate cut has been announced.

Sudan, a conflict-affected and oil-dependent economy, maintains a high-interest rate of 27.3% to combat hyperinflation and stabilize the national currency. In contrast, Sierra Leone's central bank maintains its interest rate at 19.25% to manage inflation and support economic stability.

Malawi, predominantly agricultural, increased its benchmark interest rate to 26% in February 2024 in response to persistent inflation. Mozambique, another agriculture-focused economy, reduced its interest rate to 16.5% in January 2024 to stimulate economic growth while maintaining price stability.

Zimbabwe, known for its gold production, maintains the highest central bank interest rate in Africa at 35%. This high rate is anchored to stabilize inflation and support the newly introduced gold-backed currency, the ZiG. Nigeria, Africa's most populous nation, follows closely with a benchmark lending rate of 27.5%, a decision made in February 2025 and aligned with market expectations after six consecutive hikes.

Looking ahead, analysts predict a potential easing of rates in Nigeria later in 2025, possibly starting in H2, with cuts expected by the end of the year, potentially totaling around 225 basis points. The Central Bank of West African States (BCEAO) is also expected to cut interest rates in 2025 as inflation returns to target. Senegal's expected interest rate is 5.50% by the end of the quarter.

Togo, a small West African nation, has an average interest rate of 4.25% since 2010. The economy of Sudan, despite its challenges, is supported by key sectors such as agriculture and livestock.

In conclusion, interest rates across Africa reflect each country's unique economic circumstances and monetary policy goals. As the continent continues to evolve, we can expect these rates to adjust accordingly, shaping the financial landscape and driving economic growth.

Highest Central Bank Interest Rates in Africa in 2025: Ranking the Top 10 Nations