Weakening of the rand has little to do with nationalisation of Sarb - analyst
President Cyril Ramaphosa once again weighed in on the debate around the nationalisation of the Reserve Bank on Thursday during his parliamentary Q&A session. He said the Reserve Bank 'should be owned by the people of South Africa'.
He added that South Africa is one of only six countries that still had external shareholders in their central bank.
Since the president announced the intention to nationalise the South African Reserve Bank, the rand has weakened
Speaking on the Xolani Gwala Show, Andre Cilliers, director at Treasury One said the weakening of the rand has little to do with Ramaphosa's announcement on Thursday but relates rather to comments made by the European Central Bank.
The European Central Bank yesterday came out and revised their gross figures for their European economy, saying that they will continue supplying cheap loans to the banks to help their economy going.Andre Cilliers, Director - Treasury One
They have increased their rates in Europe by a year and they increased their quantitative easing program and that has sparked a move in the Euro which is why the strength of the rand has weakened.Andre Cilliers, Director - Treasury One
Click below to listen to the full interview:
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