Confidence in banking is hard-earned and easily shocked. This makes individual banks and the banking sector susceptible to knock-on effects from other institutions.
The governing ANC’s policy proposals don’t inspire confidence.
EFE-EPA/Kim Ludbrook
The deliberations were characterised by disingenuous, counter-factual policy pronouncements, and de facto denials of the ANC’s culpability in causing many of the current problems facing the country.
South African Reserve Bank Governor Lesetja Kganyago.
Andrew Caballero-Reynolds/AFP via Getty Images
Central banking was given to technocrats whose job is to make the difficult decisions. But there are parameters. And within these, central bankers must act independently, without fear or favour.
Parts of South Africa’s economy, such as the transport sector, are dominated by a few companies, which raises barriers to entry.
Waldo Swiegers/Bloomberg via Getty Images
The challenge to deliver a persuasive speech comes firstly in the context of intense doubts as to whether President Ramaphosa is truly in charge of the ANC.
President Cyril Ramaphosa’s efforts to fix South Africa are being undermined from within his own party, the ANC.
EFE-EPA/Kim Ludbrook
Ramaphosa’s detractors are unlikely to succeed in their rumoured bid. And, their failure will not be because they’ve suddenly become weak within the administration.
Debate about SA Reserve Bank’s mandate must be done in a more considered manner, informed by evidence.
Shutterstock
The debate about the mandate of the South African Reserve Bank must be located within a clearly articulated political vision and social compact on the kind of society South Africans aspire to.
South Afriocan President Cyril Ramaphosa delivering his third state of the nation address.
EPA-EFE/Roger Bosch / Pool
Ramaphosa offered five simple yet bold goals for the next ten years that cut across the social and economic structural constraints that inhibit South Africa’s potential.
The price of bread has been one of the drivers of inflation in South Africa.
Shutterstock
Most South Africans think prices are rising much faster than is actually the case. This makes the central bank’s job of managing inflation expectations much harder.
South Africa’s Finance Minister Tito Mboweni (centre) arrives to deliver the mid-term budget statement to Parliament.
EPA-EFE/Nic Bothma
One of the main lessons from the VBS Bank collapse in South Africa is that audit reports need to be treated with a degree of circumspection. In some cases they will require independent verification.
South African President Cyril Ramaphosa, left, introduces the country’s new Finance Minister, Tito Mboweni, in Cape Town.
Phando Jikelo/African News Agency(ANA)
Instead of having a separate regulator just for banks, the new system creates one to prevent financial crises, the other to ensure good market conduct and consumer protection.
A change in the ownership of the South African Reserve Bank from private shareholders to government shouldn’t impact the constitutional mandate of the central bank in any way.
Distinguished Professor and Derek Schrier and Cecily Cameron Chair in Development Economics, School of Economics and Business Sciences, University of the Witwatersrand
Pro Vice-Chancellor: Climate, Sustainability and Inequality and Director Southern Centre for Inequality Studies, University of the Witwatersrand, University of the Witwatersrand