The Johannesburg Interbank Average Rate (Jibar) is undergoing a transition, as announced on May 6, 2024. The South African Reserve Bank has provided updates regarding the shift from Jibar to alternative reference rates.
The process is expected to involve several stages over the coming months. The first phase will include consultations with various stakeholders in the financial sector to ensure a smooth transition. This effort aims to mitigate any potential disruptions that could affect financial markets and institutions relying on Jibar for interest rate benchmarks.
Market participants have been advised to begin preparing for the transition by reviewing their existing contracts and agreements that reference Jibar. They are encouraged to consider potential adjustments needed in anticipation of changes in benchmark rates.
Further details about the timeline and specific steps involved in this transition will be communicated by the relevant authorities as they become available.