Economists against nationalising Sarb
ECONOMISTS have slammed the introduction of a bill before Parliament by the Economic Freedom Fighters which seeks to nationalise the SA Reserve Bank (Sarb).
EFF leader Julius Malema introduced the SA Reserve Bank Amendment Bill on Thursday, which seeks to make the state the sole holder of the shares in the bank and to provide for the appointment of certain board directors by the finance minister.
Economist Mike Schüssler said nationalising the country’s central bank would not benefit the country, but instead increase state expenses.
“It is not a good idea to nationalise the Reserve Bank. The government will have to spend more money to take out the private shareholders.” The EFF’s bill is backed by the ANC. Schüssler said the move was nothing but an election tactic by the EFF, which could be damaging to the country. – Mary Jane Mphahlele