Econ­o­mists against na­tion­al­is­ing Sarb

Pretoria News Weekend - - NEWS -

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

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