The ANC is investigating a change in ownership of the South African Reserve Bank (Sarb).
A few weeks ago Public Protector Advocate Busiswe Mkhwebane found the Reserve Bank’s monetary policy mandate should no longer focus on inflation targeting.
The Money Show’s Bruce Whitfield asked Investec Economic Strategist Chris Becker why the ANC is moving on the Sarb.
Becker says it’s more complicated than a capture.
He gave the following reasons why the ANC is mulling this over:
A leftward shift of policy and political risk is negatively impacting sovereign ratings and the ability of banks to fund mines and SOEs.
In ANC policy the SOEs are the "axis of the development agenda" (In other words; they will never be privatised due to developmental state/socialist ideological reasons. This is explicit in ANC policy documents.
Policy risk in the mining sector and undercapitalised SOEs means banks/capital markets/investors are stepping back from SOEs and possibly even mines.
The Tripartite Alliance says that an "investment strike" in mines and SOEs orchestrated by neoliberals and capitalists (in other words; White Monopoly Capital) aims to undermine Government.
Hence, they are readying an alternative financing angle to continue the growth and transformation agenda (Sarb and, probably, a public bank as well) to be "pro-growth and for wellbeing of citizens".
- It's an ideological onslaught from the Tripartite Alliance.
Listen to the interview in the audio below (and/or scroll down for quotes from it).
The US Fed has a dual mandate.— Chris Becker, Investec
The discussion should actually be that the target for inflation is too high.— Chris Becker, Investec
The central bank can’t create prosperity.— Chris Becker, Investec
Enter your email address in the form below to receive a newsletter containing the most-read articles of the week from Bruce Whitfield’s The Money Show every Friday morning in your inbox.
Recommendedby NEWSROOM AI
The Money Show’s Bruce Whitfield interviews Pavlo Phitidis, founder of Aurik Business Accelerator.
The Money Show’s Bruce Whitfield interviews Darryn Faulds, a fund manager at Grovest Group.
Revenue collections are surprisingly good, so far, thanks to the VAT hike. Bruce Whitfield interviews PwC's Kyle Mandy.
Times are tough. Don’t spare her feelings! You must ask these questions of your advisor, implores Galileo Capital's Warren Ingram.
Bruce Whitfield interviews John Oliphant, former Principal Executive Officer at the Government Employees Pension Fund.
Testimonies at the Sars Inquiry has many South African taxpayers panicked. Bruce Whitfield interviews Sars' Mark Kingon.
Automotive Journalist, Jacob Moshokoa shares his views of the Polo GTI 2018, and chats about the vrrrpha mentality among young men
Actress, Cancer survivor and activist Lillian Dube shares why she decided to be a cancer activist.
Gauteng residents are warned to brace themselves for another weekend of heavy rain, possible hail and damaging winds.
Khabazela shares some of the most popular tweets, posts, and videos on 'What's gone Viral'.
Thanduxolo Jindela explains why he is running a campaign to encourage more of Omotoso’s victims to come out and testify.
Azania Mosaka catches up with Sbahle Zwane's mother to hear about developments with his schooling.
Check out the videos, tweets, Facebook posts that have gone viral and why this kid cheered her dad on in the toilet.