JOHANNESBURG – President Cyril Ramaphosa has moved in to quell the public spats by government and the ruling party's officials over the mandate and ownership of the South African reserve Bank (Sarb), saying that government's policy on the independence and role of the central bank has not changed.
This comes as Ace Magashule, secretary general of the ANC, said on Tuesday that the ruling party’s national executive committee Lekgotla directed government to consider constituting a task team to explore quantity easing measures to address intergovernmental debts to make funds available for developmental purposes.
He said the Lekgotla had agreed to ensure that the resolutions of the 54th National Conference would be fully implemented, including expanding Sarb's mandate beyond price stability to include growth and employment.
Magashule’s statement has caused serious consternation within the ruling party, with Finance Minister Tito Mboweni dismissing the quantitative easing suggestions and ANC economic transformation head Enoch Godongwana saying the secretary-general's statement was “inaccurate” as there was no decision to expand the mandate of the Reserve Bank.
In a statement as ANC president, Ramaphosa reiterated Reserve Bank governor Lesetja Kganyago's sentiments that the Constitution outlined the mandate of the Sarb of protecting the value of the currency in the interest of balanced and sustainable growth.