Sarb re­sponds to Duarte's rand rant

Chronicle (Zimbabwe) - - Business -

CAPE Town — The South African Re­serve Bank main­tained that it is an in­de­pen­dent in­sti­tu­tion af­ter ANC big­wig Jessie Duarte in­ferred that it was fail­ing to pro­tect the rand be­cause it is pri­vately owned.

The bank said in a state­ment yes­ter­day in car­ry­ing out its man­date, it does not bow to any pres­sure, whether it be po­lit­i­cal or from the pri­vate sec­tor.

"The SARB ac­counts to the peo­ple of South Africa through Par­lia­ment," it said.

In an in­ter­view with the Gupta-owned ANN7, Duarte, who is the ANC’s deputy sec­re­tary gen­eral, in­ferred that the re­serve bank was fail­ing to pro­tect the rand.

"The South African Re­serve Bank needs to cush­ion the rand, but the Re­serve Bank it­self is pri­vately owned and that is a dif­fi­culty," she said.

She was speak­ing out on the Hawks in­ves­ti­ga­tion in­volv­ing is­sues sur­round­ing Fi­nance Min­is­ter Pravin Gord­han, which has caused mar­ket un­cer­tainty and seen the rand lose over R1/$ in the last two weeks, de­clin­ing from around R13.30 to R14.43.

"We wish to re­it­er­ate that the share­hold­ing struc­ture of the Re­serve Bank has no bear­ing on any pol­icy de­ci­sions that the ex­ec­u­tive man­age­ment of the Re­serve Bank, be­ing the gover­nor and deputy gover­nors, takes in im­ple­ment­ing the Re­serve Bank’s con­sti­tu­tional man­date," it said.

"Nei­ther the Board nor the SARB’s share­hold­ers have any say or in­flu­ence over pol­icy de­ci­sions. The board of di­rec­tors is re­spon­si­ble for the gov­er­nance of the SARB." — fin24

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