Namibia's foreign currency reserves fell to a seventh-month low in March as a sharp slide in neighbouring South Africa's rand caused the central bank to purchase less of the currency to which it is pegged.
Data from the Bank Of Namibia on Saturday showed reserves at N$22.6 billion ($1.68 billion) compared to N$22.7 billion in February.
The Namibian dollar is pegged 1 to 1 against the rand.
South Africa's currency shed about 12 percent to three month lows after the sudden firing of its finance minister in March saw two of the big three global ratings firms relegate the country's credit score to "junk" status.
In contrast, Fitch last week upgraded Namibia's national rating to AAA, the highest investment score.
Bank of Namibia said the decline in the dollar value of its reserves was mainly due to decreased net purchases of the rand by commercial banks.
Namibia’s foreign reserves dragged to 7-month low by South Africa's woes
Namibia's foreign currency reserves fell to a seventh-month low in March as a sharp slide in neighbouring South Africa's rand caused the central bank to purchase less of the currency to which it is pegged.
Data from the Bank Of Namibia on Saturday showed reserves at N$22.6 billion ($1.68 billion) compared to N$22.7 billion in February.
The Namibian dollar is pegged 1 to 1 against the rand.
South Africa's currency shed about 12 percent to three month lows after the sudden firing of its finance minister in March saw two of the big three global ratings firms relegate the country's credit score to "junk" status.
In contrast, Fitch last week upgraded Namibia's national rating to AAA, the highest investment score.
Bank of Namibia said the decline in the dollar value of its reserves was mainly due to decreased net purchases of the rand by commercial banks.
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