"Removing the minority shareholders of the SARB will not change its mandate"

Economists say the rand has lost major ground after it was stated at the African National Congress (ANC) policy conference that the ruling party had been discussing nationalising the South African Reserve Bank (Sarb).

Alongside this, international factors and poor manufacturing figures have put pressure on the the local currency for most of the week.

At 4pm on Wednesday, the local currency was trading at R13.48 to the US dollar compared to R13.08 on Tuesday, at R17.41 to the pound from R17.10 before and at R15.27 to the euro from R14.95 the day before.

READ: Reserve bank proposal is in line with majority of OECD countries - Brown

ALSO READ: Why the ANC is gunning for the Reserve Bank (holder of ‘money printing presses’)

Ray White spoke to economist Isaac Matshego on the implications of having a wholly state-owned bank.

The bank says a change of ownership will not result in a higher degree of control as the bank will continue to have an oversight role.

Matshego has shared these sentiments and says the change will most certainly not change the bank's mandate.

I do not believe that getting rid of the minority shareholders of the Reserve Bank will actually change the mandate of the Reserve Bank.

Isaac Matshego, Economist at Nedbank

You must remember that the mandate of the Reserve Bank is in the Constitution.

Isaac Matshego, Economist at Nedbank

It was quite encouraging yesterday that Enoch Godongwana clarified that this proposed change will not affect the constituted mandate of the Sarb.

Isaac Matshego, Economist at Nedbank

Click on the link below to listen to the full audio...

CapeTalk welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the CapeTalk community a safe and welcoming space for all.

CapeTalk reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

CapeTalk is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
Why is SA weather acting up? Weather expert explains

Why is SA weather acting up? Weather expert explains

Listen to SA Weather Services explain why South Africa has been hit by thunderstorms in Gauteng and drought in Cape Town.

'Arrest of two South Africans in Tanzania had nothing to do with homosexuality'

'Arrest of two South Africans in Tanzania had nothing to do with homosexuality'

Human Rights Watch's Wendy Isaack says the detention for what the government says is “promoting homosexuality" is wrongful arrest.

The policy formulation process is meant to accommodate ideas - Seepe #ANCNPC

The policy formulation process is meant to accommodate ideas - Seepe #ANCNPC

Ray White spoke to political analyst Sipho Seepe about the ANC NPC and some of the issues debated.

Reserve bank proposal is in line with majority of  OECD countries - Brown

Reserve bank proposal is in line with majority of OECD countries - Brown

Karima Brown explains a proposal by some ANC members to look into changing ownership of the SARB.

Why the ANC is gunning for the Reserve Bank (holder of ‘money printing presses’)

Why the ANC is gunning for the Reserve Bank (holder of ‘money printing presses’)

It’s more complicated than a capture, says Investec Economic Strategist Chris Becker.

Reserve Bank files urgent application against Public Protector's findings

Reserve Bank files urgent application against Public Protector's findings

Legal Representative for SA Reserve Bank Chris Moraitis says they want court to set aside Mkhwebane's proposed remedial action.

Popular articles
Three mistakes to avoid when nominating a beneficiary

Three mistakes to avoid when nominating a beneficiary

Certified Financial Planner Paul Roelofse has a difficult conversation with Phemelo Motene around nominating a beneficiary.

Why low sexual desire is not 'abnormal'

Why low sexual desire is not 'abnormal'

Low sex drive is common and non-sexual relationships can also be fulfilling, explains clinical sexologist Dr Eve.

Man wants end to six-year marriage after wife refuses to cook for him

Man wants end to six-year marriage after wife refuses to cook for him

Geoffrey Matovu filed for divorce in the Family Division of the High Court accusing Ms Tryphena Nakiyingi of being disrespectful.

Jerome Booysen of Sexy Boy's life could be under threat

Jerome Booysen of Sexy Boy's life could be under threat

A fight broke at a hospital where Booysen was admitted and it is believed Booysen was the target of the scuffle.

Estate agent Aida admits it’s the source of SA’s largest data hack ever

Estate agent Aida admits it’s the source of SA’s largest data hack ever

The Money Show’s Bruce Whitfield interviews Stuff magazine’s Toby Shapshak.

UCT engineering student creates affordable grey water system

UCT engineering student creates affordable grey water system

Nkosinathi Nkomo came up with a system that could turn grey water into usable water amidst the Cape Town water crisis.

3 emergency numbers you should have on speed dial and how they work

3 emergency numbers you should have on speed dial and how they work

These are the emergency numbers you should have on your cellphone and this is what you must understand about how they work.