Reserve Bank nationalisation Bill back on the table

While President Cyril Ramaphosa is on a drive to attract investors, the controversial Bill to nationalise the central bank which caused jitters when first unveiled a year ago has been revived. EWN reports that the Bill has been referred back to lawmakers, according to parliamentary papers. The reintroduction of the Bill comes at an awkward time for Ramaphosa, who has to juggle his pro-business approach with left-leaning elements of the ANC. The Bill was introduced by Economic Freedom Fighters leader Julius Malema in August last year, but lapsed when a new Parliament was elected in May. When initially introduced, the South African Reserve Bank Amendment Bill put pressure on the ANC to go through with a plan it shelved in 2018 and rattled markets wary of threats to the central bank's independence. The ANC has said any plans to nationalise the bank will be done responsibly and not affect the institution's mandate or independence. Reserve Bank Governor Lesetja Kganyago has previously warned that the ownership debate was increasing investor uncertainty and pushing up the risk premium attached to the country's debt. The Bill will be referred to the Standing Committee on Finance for further deliberations and public input before the lower house of Parliament votes on it.

Full EWN report