In this article, we will take a look at the 20 countries with the highest interest rates in 2024. If you want to skip our detailed analysis, you can go directly to 5 Countries with Highest Interest Rates in 2024.
Interest Rates in 2024: Outlook
On December 13, 2023, CNBC reported that in 2024, interest rates are expected to experience three rate cuts. According to individual expectations within the committee, 2025 may bring an additional four rate cuts, or a full percentage point, followed by three rate cuts in 2026.
On January 26, Reuters reported that the Fed indicated they would not be going for a rate cut anytime soon. While economists predict the first rate cut to be enforced in June, the current economic outlook leaves quite some uncertainty. The possible explanation for the Fed not enforcing rate cuts as of yet may be the inflation rate not wearing off as fast as the Fed expected it to.
On January 31, CNBC reported that the Fed continued to pause and not cut interest rates at the FOMC meeting while showing no signs of a possible rate cut anytime soon. While the Fed highlighted there will be no further hikes in the interest rate, despite the inflation rate still above the Fed's 2% goal, the body is not ready to start cutting yet.
What Stocks Do Well in a High Interest Rate Environment?
Financials are one of the top sectors that benefit in a high interest rate environment. Some of the top financial services stocks to buy according to hedge funds include JPMorgan Chase & Co. (NYSE:JPM), Wells Fargo & Company (NYSE:WFC), and Bank of America Corporation (NYSE:BAC). Let's discuss some recent updates from these companies. You can also take a look at the biggest stocks that benefit from high interest rates.
On November 20, 2023, JPMorgan Chase & Co. (NYSE:JPM) announced the launch of new Hong Kong dollar pair FX Warrants. The company is the first issuer in Asia to launch FX Warrants with CNH/HKD and JPY/HKD currency pairs. The strategic move by the company aligns with the rising investor demand. Investors will be able to leverage this opportunity to analyze current movements and capitalize on directional views. JPMorgan Chase & Co. (NYSE:JPM) expects to launch five additional pairs in the coming months.
JPMorgan Chase & Co. (NYSE:JPM) was a part of 109 hedge fund portfolios at the close of the third quarter of 2023. The total stakes of these hedge funds amounted to $6.67 billion, up from $4.39 billion in the previous quarter with 106 positions. The hedge fund sentiment for the stock is positive. As of December 31, 2023, Greenhaven Associates is the largest shareholder in JPMorgan Chase & Co. (NYSE:JPM) and has a position worth $8.03 million. The stock covers 8.56% of the fund's portfolio.
Wells Fargo & Company (NYSE:WFC) is a financial services company in California, United States. On January 23, Wells Fargo & Company (NYSE:WFC) declared a quarterly dividend of $0.35 per share. The dividend is payable on March 1 to shareholders of record on February 2. As of January 31, the stock is offering a forward dividend yield of 2.78%.
Bank of America Corporation (NYSE:BAC) is an investment bank and financial services company in California, United States. Wall Street is positive on Bank of America Corporation (NYSE:BAC). On January 30, Oppenheimer analyst Chris Kotowski maintained an Outperform rating on Bank of America Corporation (NYSE:BAC) and raised his price target from $49 to $50. Over the past 3 months, 11 Wall Street analysts have given a buy rating on Bank of America Corporation (NYSE:BAC). Bank of America Corporation (NYSE:BAC) has an average price target of $37.3 and a high forecast of $49.
While the US is going through a period of record-high inflation and interest rates, there are many countries where interest rates are even higher than they are in the US. Let's take a look at the 20 countries with the highest interest rates in 2024. You can also read our piece on the best investments during high interest rates.
20 Countries with Highest Interest Rates in 2024
20 Countries with Highest Interest Rates in 2024
Our Methodology
To identify the 20 countries with highest interest rates in 2024, we sourced our data from Trading Economics. Trading Economics sources its data from government agencies and central banks of each country. We sorted the list in ascending order and included the top 20 names. We used this source, as it provides us with the latest interest rates for each country. It is to be noted that we were unable to maintain uniformity as the latest reported date differs for each country. For clarity, we have highlighted the reported date in our list. The list of the 20 countries with highest rates in 2024 is in ascending order of the latest reported interest rate.
By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using a consensus approach, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or a professional one looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.
20 Countries with Highest Interest Rates in 2024
20. Kazakhstan
Latest Interest Rate (January 2024): 15.25%
Kazakhstan ranks 20th among the countries with the highest interest rates in 2024. The country has an interest rate of 15.25%, as of January 2024. In a meeting in January, The National Bank of Kazakhstan reduced its benchmark interest rate by 50 bps to hit 15.25%.
19. Russia
Latest Interest Rate (January 2024): 16%
With an interest rate of 16%, as of January 2024, Russia ranks among the countries with the highest interest rates in 2024. The Bank of Russia expanded its key interest rate by 100 bps to reach 16% in December 2023.
18. Haiti
Latest Interest Rate (January 2024): 17%
Haiti ranks 18th among the countries with the highest interest rates in 2024. The country has an interest rate of 17%, as of January 2024. The country recorded an all-time high interest rate of 31% in November 2002.
17. Gambia
Latest Interest Rate (January 2024): 17%
With an interest rate of 17%, as of January 2024, Gambia ranks among the countries with the highest interest rates in 2024. The average interest rate in Gambia between 2002 and 2024 is 17.44%, with an all-time high of 34% in September 2003.
16. Mozambique
Latest Interest Rate (December 2023): 17.25%
Mozambique ranks among the countries with the highest interest rates, with an interest rate of 17.25%, as of December 2023. As per the Central Bank of Mozambique's meeting in November 2023, Mozambique kept its MIMO interest rate unchanged at 17.25%.
15. Angola
Latest Interest Rate (January 2024): 18%
Angola ranks among the countries with the highest interest rates in 2024. Angola has an interest rate of 18% as of January 2024. The National Bank of Angola kept its policy rate steady at 18% as per its meeting in January 2024, after a slight increase of 100 bps in November 2023.
14. Nigeria
Latest Interest Rate (January 2024): 18.75%
With an interest rate of 18.75%, as of January 2024, Nigeria ranks 14th among the countries with the highest interest rates in 2024. On July 25, 2023, the Central Bank of Nigeria expanded its benchmark interest rate by 25 bps to 18.75%.
13. Egypt
Latest Interest Rate (January 2024): 19.25%
Egypt ranks among the countries with the highest interest rates in 2024. Egypt has an interest rate of 19.25% as of January 2024. In a December 2023 meeting, the Central Bank of Egypt kept its key overnight deposit rate and lending rate at 19.25% and 20.25%, respectively.
12. Liberia
Latest Interest Rate (January 2024): 20%
Liberia ranks 12th among the countries with the highest interest rates in 2024. Liberia has an interest rate of 20%, as of January 2024. The average interest rate in Liberia between 2019 and 2024 is 19.33%.
11. Pakistan
Latest Interest Rate (January 2024): 22%
With an interest rate of 22%, as of January 2024, Pakistan ranks among the countries with the highest interest rates in 2024. The Central Bank of Pakistan has maintained its interest rate at 22% for the fifth consecutive time, as per its latest meeting in January 2024.
10. Sierra Leone
Latest Interest Rate (January 2024): 22.25%
Sierra Leone ranks among the countries with the highest interest rates in 2024. The country recorded an interest rate of 22.5% in January 2024. The highest interest rate ever recorded in Sierra Leone was 27% in October 2000.
9. Iran
Latest Interest Rate (December 2023): 23%
Iran ranks 9th among the countries with the highest interest rates in 2024. Iran had an interest rate of 23%, as of December 2023. The average interest rate in Iran between 1973 and 2023 was 17.19%, with an all-time high of 23% in January 2023 and an all-time low of 10% in December 1979.
8. Malawi
Latest Interest Rate (December 2023): 24%
Malawi ranks among the countries with high interest rates in 2024. Malawi has an interest rate of 24%, as of December 2023. The Central Bank in Malawi has kept its interest rate unchanged at 24% since October 2023.
7. Congo
Latest Interest Rate (January 2024): 25%
With an interest rate of 25%, as of January 2024, Congo ranks among the countries with the highest interest rates in 2024. The average interest rate in Congo between 2008 and 2024 is 16.36%, with an all-time high of 70% in January 2010.
6. Sudan
Latest Interest Rate (February 2023): 28.3%
Sudan ranks sixth among the countries with the highest interest rates in 2024. Sudan has an interest rate of 28.3%, as of February 2023. Sudan reported an average interest rate of 13.83% between 2003 and 2023, with an all-time high of 28.3% in February 2023.
