Kganyago: Mkhwebane hasn’t explained findings on Reserve Bank mandate

Reserve Bank Governor Lesetja Kganyago says that targeting inflation helps an economy to grow and maintains the value of the money that South Africans actually have.

FILE: Reserve Bank Governor Lesetja Kganyago. Picture: GCIS.

JOHANNESBURG – Reserve Bank Governor Lesetja Kganyago says that Public Protector has not properly explained how she came to her findings of the bank’s mandate and that she does not have the power to tell Parliament to change the Constitution.

He’s now filed legal papers in the bank’s application to have Advocate Busisiwe Mkhwebane’s findings that the bank’s inflation targeting mandate must be changed.

Parliament and Absa are also challenging her findings in court.

In his documents, Kganyago says that targeting inflation helps an economy to grow and maintains the value of the money that South Africans actually have.

He says that this is particularly for the poor and marginalised because they don’t have the information they need to protect themselves from inflation.

Kganyago also says that Mkhwebane did send them a preliminary report a month before publishing this final report but did not indicate then that she was going to come to this finding.

He also says that she did not live up to an agreement reached with the Public Protector’s office in 2013 that the bank would receive a copy of her final report five days before it was made public.