In 2025, the South African Rand took a historic nosedive, reaching its lowest point ever against the euro and pound. Political chaos from a controversial national budget, along with new US tariffs, caused panic among investors, leading them to pull money out of the country. On April 9, the rand fell to R21.81/€ and above R25/£, creating a wave of uncertainty and rising inflation in South Africa. This crisis reflects not only economic struggles but also the deep political issues within the nation, urging everyone to unite for a better future.
The South African rand has experienced a downturn against most major currencies, marking an end to its recent rally. This depreciation is attributed to a combination of profittaking activities and a resurgence of riskoff sentiment. ### Fed Chair Powell’s Testimony