Mboweni and Kganyago reaffirm commitment to central bank’s independence

Finance Minister Tito Mboweni and South African Reserve Bank (SARB) governor Lesetja Kganyago have reaffirmed their commitment to the independence of the central bank.

In a joint statement following a meeting in Pretoria on Thursday, they emphasised that the effective coordination of fiscal and monetary policy was a central pillar of good macroeconomic management and policy certainty.

They say this coordination reduces any potential or unnecessary uncertainty around the formulation and implementation of the macro-economic framework.

Last month, a statement by African National Congress Secretary-general Ace Magashule about the ruling party’s resolutions to expand the central bank’s mandate beyond price stability to include growth and employment caused a public spat within the party with both Mboweni and the ANC’s head of economic transformation Enoch Godongwana denying that such a decision was taken.


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