Both the supply and demand effects of this extension reduce growth and deepen it in the short-term, as businesses stay shut for longer and households with income spend less. The recovery of the South African economy requires a multi-pronged policy approach. 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 World Bank highlights that this will be the deepest global contraction since 1945, with a record 93% of the world's economies expected to experience economic contraction this year. THE president of Zambia, Edgar Lungu, on Saturday dismissed Bank of Zambia governor Denny Kalyalya without giving a reason for the surprise move. Electricity pricing remains a concern but has moderated somewhat. 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. With that in mind, the Bank expects GDP in 2020 to contract by 6.1%, compared to the -0.2% expected just three weeks ago. 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. We mark the 100th annual Ordinary General Meeting (AGM) of the South African Reserve Bank (SARB) at a time when the world is facing one of the most disruptive and challenging crises in recent memory. As we navigate through this COVID-19 storm, the SARB will continue to deploy its tools, as appropriate, in accordance with its mandate, to provide support to the South African economy. South African Reserve Bank stands ready to provide support to the economy within its mandate,” Kganyago said. Since the 2008/2009 global financial crisis, South Africa has implemented reforms to strengthen its regulatory framework for financial institutions and improve the resilience of the financial system. This is not a time to despair. The South African Reserve Bank announces the interest rate decision on Thursday. South African Reserve Bank governor Lesetja Kganyago in Cape Town, South Africa, on Aug. 1. Four repo rate cuts have been made since March 2020, as follows: a 100 basis points cut at a special MPC meeting in April 2020; Domestic money market liquidity management. Lower oil prices will reduce petrol prices in the near term. During the past year, the main risks to financial stability were identified as weak and deteriorating domestic macroeconomic conditions, government's fiscal position, cyberattacks on key financial infrastructures, and climate change. Please try again later. Current indications from the World health Organisation are that the pandemic is unlikely to end quickly, with shorter, less virulent waves hitting over time. Lastly, as an extra measure to add liquidity and promote the functioning of the bond market, the SARB commenced with a programme of purchasing government securities in the secondary market. Nonetheless, prices for many commodities have fallen as a result of weaker demand globally. The South African Reserve Bank’s Monetary Policy Committee has voted to cut the country’s rates by a further 25 basis points. 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. The South African economy is likely to recover to pre-crisis levels at the end of 2021 or 2022, said the deputy governor of the South African Reserve Bank (SARB) Fundi Tshazibana on Wednesday while speaking at the Absa Annual Fixed Income Conference. Policy; Governance Structure; Framework; Risk Management and Compliance Department; Processes; Approach And Methodology ; Whistle-blowing@SARB; Reserve Bank Shares. October 15, 2020. South Africa’s risk profile has increased. 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