The Swaziland Building Society (SBS) has called upon its customers to save in view of the continued increase in interest rates.

In line with Central Bank of Eswatini (CBE’s) upward adjustment of the repo rate by 50 basis points last week, the Society increased its Prime Lending Rate by the same basis points from 10.25 percent to 10.75 percent effective April 01, 2023. 

SBS Manager Marketing Veli Dlamini said: “The change will affect all products with variable rates. It is the best time to invest.”

In light of the adjustments to interest rates, SBS encourages its customers to take interest in its investment accounts such as the Prime Linked Deposit, Fixed Deposit, Special Call, Fixed Period Shares, Permanent Shares, Subscription Shares and Gold Account.

Dlamini said the Prime Linked Deposit Account was meant to reward individual and institutional customers who supported the Society’s mission to develop the local economy.

“The minimum initial deposit is E300, 000 for individuals and E1 million for corporate clients, and the minimum investment term is six months,” he said. 

He further described the Fixed Deposit Account as a short or medium term investment for a deposit at a fixed rate of interest for a fixed period of time.

The Manager Marketing urged customers to visit any nearest SBS branch to access these accounts and more “and make their money work for them”.

Dlamini said, alternatively, customers can contact the SBS Contact Centre at 24041313 or whatsapp 78089910 or the Society’s social media platforms on Facebook, LinkedIn and Twitter, or email info@sbs.co.sz 

In his Monetary Policy Statement, CBE Governor Dr. Phil Mnisi said: “Taking into consideration relevant global, regional and domestic economic factors, as well as the price and financial stability mandate, the Bank decided to increase the discount rate by 50 basis points from 6.75 percent to 7.25 percent.”

“Therefore, banks are expected to increase the prime lending rates on loans extended to individuals and businesses to 10.75 per cent until the next monetary policy meeting,” he added.

The CBE also revised upwards inflation forecasts to 5.6 percent for 2023, 5.3 percent for 2024 while the forecast for 2025 was reviewed downwards to 5.1 percent.