After deputy finance minister David Masondo’s suggestion that the Reserve Bank should buy state bonds directly, governor Lesetja Kganyago has likened such as step to clients telling their banker to lend them money.

“When you hear government saying that ‘the Reserve Bank should be funding us’, it is tantamount to [clients] saying to their banker, ‘I instruct you to fund me,’” Kganyago said during a webinar published by Investec Wealth and Investment on Wednesday.

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