South African Reserve Bank Governor Lesetja Kganyago listens during an interview in New York City, in New York, US, on November 9, 2017. The last time a figure of this magnitude appeared in our data was in 1931, during the Great Depression, when output fell by 6.2%. Central banks around the world responded swiftly by lowering interest rates and providing liquidity to maintain market functioning. Lesetja Kganyago was reappointed as the Governor of the South African Reserve Bank (SARB) for a second term in November 2019; his first was effective from 9 November 2014. Despite this rise in country risk, the Committee notes that the more prolonged lockdown and slower recovery creates downside risk to inflation and allows further space for monetary policy to respond to the virus-induced demand shock to the economy. Coupled with prudent macroeconomic policies and structural reforms, a lower cost of capital can support growth in long-term investment. Households may continue to maintain high precautionary savings, and uncertainty is likely to weigh on business capital spending plans. These response measures have helped to ease global financial conditions, allowing governments and companies to continue accessing domestic and international financial markets, and thus being able to sustain business operations and provide support to households. Fugitive Cleric Bushiri Now Wanted For Rape in South Africa, Tight Lockdown Rules as COSAFA U-20 Gets Underway in South Africa, New Surveys May Shed Light On South Africa's Covid-19 Epidemic, New Nests are Helping African Penguins Breed, As Covid-19 Surges, South Africa Cracks Down on Coastal Metro. To place our economy on a sound and sustainable growth path, the SARB stands ready to provide support to the economy within its mandate. He holds a MSc in Economics from SOAS London University and a BCom degree in Economics and Accounting from UNISA. 14 Apr 2020 Statement of the Monetary Policy Committee - Issued by Lesetja Kganyago, Governor of the South African Reserve Bank Since the March meeting of the Monetary Policy Committee (MPC), the Covid-19 pandemic has spread globally and its impact is being felt through all economies. Each of these steps make more capital available to households and firms. In its latest update on the World Economic Outlook, the International Monetary Fund (IMF) estimates that global gross domestic product (GDP) will contract by about 4.9% in 2020. Monetary policy can ease financial conditions and improve the resilience of households and firms to the economic implications of Covid-19. He was appointed to that post on 6 October 2014, by Jacob Zuma, the former President of the Republic of South Africa (RSA). AllAfrica is a voice of, by and about Africa - aggregating, producing and distributing 900 news and information items daily from over 130 African news organizations and our own reporters to an African and global public. SA Reserve Bank sees 50% third-quarter GDP rebound, holds interest rates steady By Ed Stoddard • 19 November 2020 Governor of the South African Reserve Bank Lesetja Kganyago. The spot price for Brent crude oil is currently around $31 per barrel, despite a new agreement reached by Opec and other producers to make large oil production cuts. “Lower longer-term inflation outcomes are … By Suren Naidoo 19 Nov 2020 15:10 Lesetja Kganyago, governor of the South African Reserve Bank. Such steps will further reduce existing constraints on monetary policy and its transmission to lending. South Africa’s central bank said on Wednesday the coronavirus had resulted in far reaching risks to financial stability and banks’ profitability would suffer, but lenders were in a good … Nomfundo Tshazibana (born c.1977), commonly known as Fundi Tshazibana, is a South African economist, who serves Deputy Governor of the South African Reserve Bank from 10 July 2019. South Africa’s risk profile has increased. That’s because it happened in quick succession and the … JOHANNESBURG--The South African Reserve Bank on Thursday kept its main repo rate at 3.5%, even as it forecast that Africa's most developed economy will shrink 8% this year. The South African Reserve Bank’s Monetary Policy Committee has voted to cut the country’s rates by a further 25 basis points. The SARB's key operations have not been affected by the remote working arrangements. However, as we have indicated in the past, improving the potential growth rate of the economy cannot be left to the central bank alone. In addition, the prolonged period of remote working has increased cybersecurity risks. This stimulus has provided support to the health sector and to vulnerable households and businesses. As a consequence, the high-frequency indicators suggest that the gradual lifting of lockdown restrictions in the major economies (first China, then Europe) has seen a rebound in manufacturing production and retail spending. Expectations of future inflation broadly remain around the mid-point of the band, although market-based expectations have recently ticked up in response to the depreciation of the currency. The recovery of the South African economy requires a multi-pronged policy approach. Revisions to liquidity management operations comprised four elements. This will likely also increase job losses, with further consequences for aggregate demand. Previous Governors; Legislation; Mandate; Functions. MPC Statement 19 November 2020 Page 1 PRESS STATEMENT EMBARGO DELIVERY 19 November 2020 STATEMENT OF THE MONETARY POLICY COMMITTEE Issued by Lesetja Kanyago, Governor of the South African Reserve Bank The global policy response has matched the magnitude of the crisis. Commercial banks' deposits at the SARB now earn interest based on the repo rate less 200 basis points, compared to the repo rate less 100 basis points previously. Opening address by Mr Lesetja Kganyago, Governor of the South African Reserve Bank, at the fourth Annual Distributed Sovereign Debt Research and Management Conference University of Pretoria, Pretoria, 7 September 2020. Nigerian President Appoints New Civil Defence Boss. After all, everything we do is through our people. International food prices have eased and local food price inflation is expected to remain low, in part due to higher domestic production levels. Members or Alternates . Over the same period, the yield on the 10- year government bond rose by more than 200 basis points, and money market liquidity was thin. However, as policymakers, we must ensure that our economy is well placed to take advantage of improving global conditions. SOUTH AFRICAN RESERVE . The forecast for core inflation is lower at 3.8% in 2020, 4.0% in 2021, and 4.2% in 2022. BANK, L KGANYAGO SECOND RESPONDENT . Policy responses to the crisis have generally been robust, with the magnitudes dependent on the degree of policy space available to countries. While the focus has been on monetary policy, coupled with regulatory and liquidity management measures, it has been essential for the SARB to ensure that key functions in the economy are not negatively affected by any disruptions to the national payment system and our currency operations. Policy; Governance Structure; Framework; Risk Management and Compliance Department; Processes; Approach And Methodology ; Whistle-blowing@SARB; Reserve Bank Shares. We have also seen the value in being part of a global community through the contributions that we were able to make through our advocacy in global forums, strengthening the global financial safety net. The US Federal Reserve has taken further steps to expand its balance sheet. Global economic and financial conditions are expected to remain highly volatile for the foreseeable future. As we move towards economic recovery, the opening up of global trade channels will be important for South Africa as a small open economy. Governor Kganyago has more than 20 years of experience in formulating and implementing public policy, having spent this time at the central bank and at the National Treasury. COVID-19 and South African Reserve Bank operations. This takes the repo rate to 4.25% per annum, with effect from 15 April 2020. For example, mining and manufacturing production plunged by 37% and 44% month on month, respectively, in the month of April. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. 4% in 2022. The strength of the recovery into the fourth quarter and 2021 will depend on how quickly countries are able to open up for economic activity safely, requiring sustainable social distancing rules, safety processes put in place by businesses and public institutions, and capacity of hospitals to accommodate those in need. The South African Reserve Bank has a responsibility to maintain price stability and look after the economy. Governor of the South African Reserve Bank Lesetja Kganyago is suing Nelson Mandela Bay ANC councillor Andile Lungisa for defamation of character. It's Mr Music vs Zama in Idols South Africa Finale! Created Date. 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