(Bloomberg) -- South Africa's ruling party has taken a decision to nationalize the central bank and it will be implemented, President Cyril Ramaphosa said.
“We have got to go through processes,” Ramaphosa told parliament in Cape Town on Thursday. “There is no hidden agenda.”
Ramaphosa's comments come a day after he was scheduled to meet with Reserve Bank Governor Lesetja Kganyago in Cape Town. Kganyago on Wednesday emphasized the importance of central bank independence in a speech on a university campus.
South Africa is one of a handful of countries whose central bank is owned by private investors and the move to bring it under the control of its citizens will affirm the nation's sovereignty, Ramaphosa said.
The rand extended declines after Ramaphosa spoke, declining as much as 0.7 percent against the dollar. It was 0.5 percent lower at 14. 3408 per dollar at 2:44 p.m. in Johannesburg.
What You Need to Know About The Reserve Bank's Owners |
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To contact the reporter on this story: Mike Cohen in Cape Town at mcohen21@bloomberg.net
To contact the editors responsible for this story: Karl Maier at kmaier2@bloomberg.net, Rene Vollgraaff
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