JOHANNESBURG – The rand weakened against the dollar on Thursday morning ahead of the South African Reserve Bank (SARB) rate decision later in the day.
At lunchtime on Thursday, the rand was trading at R14,69/$1, up 0.61 percent.
Lukman Otunuga, research analyst at forex brokerage firm FXTM, said the markets widely expect the central bank to keep the repo rate on hold at 6.75 percent in March on the back of a depreciating rand.
"With global growth concerns and geopolitical risks weighing on sentiment, the Sarb is likely to remain cautious like many other major central banks," Otunuga said.
"The rand has scope to weaken further if the central bank expresses concerns over the domestic economy and possible impacts of geopolitical risks."