DUMA GQUBULE: Governor must stay in his lane and accept debate about the Bank
In a democracy there must be a political process to set the goals of monetary policy and the mandates of the central bank
The ongoing debate about the ownership, independence and mandate of the SA Reserve Bank and the use of quantitative easing has illustrated how illogical it is to look at every issue through the lens of ANC factions. It is lazy analysis by people who do not have the analytical tools to evaluate the merits of economic arguments.
The monetary policy debate within the ANC predates its current factions. At Polokwane in December 2007, the ANC said the creation of work opportunities should be the primary focus of all economic policies. In its 2009 elections manifesto, the party said: “Our fiscal and monetary policy mandates, including interest rates and exchange rates, need to take into account employment considerations, economic growth and other developmental imperatives.”