Reserve Bank explains state of SA market
The South African Reserve Bank has dismissed speculation that a special Monetary Policy Committee meeting would be convened.
Last week, the rand weakened after Finance Minister Nhlanhla Nene was sacked and replaced in quick succession by David van Rooyen and Pravin Gordhan.
Reserve Bank Governor, Lesetja Kganyago says there's no need for the meeting, adding that it's important for policy makers to bring sanity to the market at a time when there is uncertainty and panic.
Kganyago was speaking at Gordhan's first press briefing as finance minister yesterday in Pretoria.
"It seems with the announcement of the appointment of the minister, we have seen a recovery in both the foreign exchange markets and in the equity markets.
"More importantly is that the index that we have watched very closely, which is the banking index, recovered and losses now only amount to 3%," he said.
(File photo: Gallo Images)