The African National Congress (ANC) has urged senior members who have criticized its statement on the expansion of the Reserve Bank mandate to raise their concerns within the structures of the organization.
This follows the spat that broke out within its own ranks over ANC Secretary General Ace Magashule’s announcement that the party would expand the mandate of the Reserve Bank and explore the use of quantitative easing to deal with government debt.
This was immediately contradicted by the head of the ANC’s economic transformation committee, Enoch Godongwanaand Finance Minister Tito Mboweni who described it as a reckless statement.
Party spokesperson Pule Mabe says they need to have one voice on policy issues.
Meanwhile, economists say markets will rely on how the Reserve Bank and the Ministry of Finance responded to the on-going debate on the mandate of the South African Reserve Bank.
Market analyst Liston Mentjies says such discussions create more uncertainties.
“People dislike uncertainty and while there is this noise around the uncertainty I think the real proof of the pudding is the statement from the governor of SARB and the Minister of Finance, never mind the reported split within the group.”