JOHANNESBURG - The rand fell sharply on Friday, heading for a third consecutive ​week of ⁠losses, ahead of a much-anticipated interest rate decision by the South African ‌Reserve Bank next week.

At 1454 GMT the rand traded at 17.05 against ​the dollar , down 1.7% from Thursday's close and hovering around its weakest level since ​early December ​2025.

Analysts expect continued pressure on the rand amid concerns that rising oil prices will lift inflation in net energy-importer South ⁠Africa.

"The oil price has now become a barometer for risk appetite. The higher the oil price, the lower the risk appetite that drives emerging-market currencies," said ETM Analytics in a research note.

The local currency fell ​by more ‌than 3% the ⁠week before last, declined ⁠by over 2% last week, and is on track for a further drop ​of about 1% this week.

In contrast, the ‌U.S. dollar has emerged as one of ⁠the clearest safe-haven winners, strengthening over 2% so far this month.

Next week, domestically focused investor attention will be pinned on the central bank's rate decision on Thursday. Economists polled by Reuters expect the central bank to keep its main lending rate steady at 6.75%.

The bank's governor told Reuters earlier this month that the bank will revise its risk scenarios for its next policy meeting as the Middle East ‌conflict continues to push oil prices higher.

Other economic indicators ⁠due next week include the composite leading business ​cycle indicator on Tuesday, and producer inflation data on Thursday.

On the Johannesburg Stock Exchange, the Top-40 index was last down 0.4%.

South Africa's benchmark ​2035 government ‌bond weakened sharply, with the yield rising 17 basis ⁠points to 9.22%.