Kganyago reappointment shows commitment to central bank independence – association
The re-appointment of Lesetja Kganyago as governor of the central bank shows the government's clear commitment to the institution's independence, responsible monetary policy and a stable financial system and currency, the Banking Association South Africa (BASA) has said.
President Cyril Ramaphosa on Wednesday announced the re-appointment of Kganyago to head the South African Reserve Bank and the appointment of Nomfundo Tshazibana and Dr Rashad Cassim as deputy governors for a five-year term each.
The central bank has recently been at the centre of renewed debate about its independence and inflation targeting mandate, which critics say it has pursued at the expense of economic growth.
BASA said Kganyago had led a "resolute defence of the independence of the Reserve Bank (and) overseen the introduction of the ‘Twin Peaks’ system of banking regulation – designed to strengthen the stability of the financial system and ensure that its customers are treated fairly".
It said he had also managed a responsive monetary policy during a time of fiscal irresponsibility and showed the kind of experienced and mature leadership necessary as South Africa tried to find its way out of its current economic crisis.
The appointment of Tshazibana and Cassim, both experienced central bank officials, as deputy governors maintained and strengthened a leadership team that had steered the bank and the country through difficult economic and political times, the banking association added.
It however reiterated that a responsible monetary policy on its own was not a sufficient condition to achieve the inclusive economic growth necessary to overcome a persistently high unemployment rate, poverty and inequality.
"We hope that the appointment of this team is a signal that government is finally acting decisively on a range of economic challenges, including reducing public expenditure, fixing state-owned enterprises, and improving the ease of doing business and investing in the country," said BASA.
The appointment of a temporary board at the Public Investment Corporation, the custodian of the savings and investments of public servants, was an indication that this might well be the case, it added.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation