The South African rand approached a three-year low of 18.4 against the USD due to renewed worries over the global financial system’s health and a US economic recession. South Africa’s central bank is expected to continue raising interest rates, with a 25 bps increase next month after headline inflation accelerated for the second consecutive month to 7.1% YoY in March. Meanwhile, producer price inflation in South Africa slowed to 10.6% YoY in March, the lowest reading since February 2022.