At 0630 GMT the rand was 0.48pc  firmer at 14.4200 per dollar compared to a close of 14.4900 overnight in New York.

The Reserve Bank's five-member policy committee voted 3-2 to keep rates steady at 6.75pc , saying that while inflation and inflation expectations were close to the middle of the bank's 3pc  to 6pc  target range, they had not yet settled there.

"A mixed voting decision often signals an oncoming change in policy.

We believe that inflation is likely to be slightly higher than the MPC expects as the impact of the rand and administered prices could be higher than currently anticipated," analysts at Nedbank said.

Despite moderating inflation, the rand and South African bonds continue to offer a relatively healthy yield return.

Bonds were also firmer on Friday, with the yield on the benchmark paper due in 2026, down 4 basis points to 8.34pc. .