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Lesetja Kganyago reaffirms SA Reserve Bank mandate | IOL Business Report

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Lesetja Kganyago reaffirms SA Reserve Bank mandate

Newly reappointed governor of the South African Reserve Bank Lesetja Kganyago yesterday called on a broader discussion on measures to stimulate growth beyond the fixation on monetary policy.

Kganyago further insisted that by maintaining a “credible monetary policy and a short-term interest rate” that compensates investors for risk, the central bank helped to maintain capital flows into South Africa. The print marked the seventh consecutive month that year-on-year inflation was at or below the midpoint of the bank’s target band.

Kganyago said that despite the interest rates cut, the economy was expected to grow below 0.8 percent this year.

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