20 years of Repo Interest Rate Determination using AI: Global Trends and Africa

This study investigated the application of artificial intelligence (AI) in determining repo interest rates, which play a vital role in guiding monetary policy, controlling inflation, and ensuring economic stability. Through a bibliometric review of research from 2004 to 2024, the findings highlight AI's transformative impact, particularly in forecasting, optimising repo rate decisions, and improving risk assessment for more effective monetary policy. However, the study also identifies a significant gap in AI usage for repo rate determination in African countries, with contributions largely limited to Ghana, Nigeria, Egypt, and South Africa. This underrepresentation poses a risk of Africa falling behind in leveraging AI for economic policy, while also presenting an opportunity for interdisciplinary research and increased collaboration to tailor AI solutions to the continent’s unique economic challenges. These findings underline the need for Africa to harness AI for monetary policy innovation and economic development.