I don't know how many times I must repeat the same thing: SA is a sovereign state that issues its own currency. Therefore it cannot fail to meet its obligations in its own currency, unless it chooses to do so. It cannot be broke or run out of money. Our monetary policy framework with one policy tool (interest rates) and one target (the inflation rate) is outdated.

SA needs a developmental central bank, with a dual mandate that combines price stability and employment. It has to expand its policy toolkit to achieve developmental objectives. The wide spectrum of possible policy tools includes monetary finance, central bank lending and quantitative easing (QE).   ..

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