Public protector Busisiwe Mkhwebane will not be opposing the Reserve Bank’s opposition to her order to parliament to amend the Constitution after she received legal advice not to.
Mkhwebane ordered parliament to change laws and the Constitution to ensure that the Reserve Bank’s mandate to protect the value of the currency was removed. This was in her report on whether the current government should try to recoup the apartheid’s government’s R1. 25 billion loan to Bancorp‚ now Absa‚ which was in financial distress at the time.
The Reserve Bank‚ Finance Minister Malusi Gigaba and then Parliament itself filed legal papers to oppose her plan to weaken the central bank’s powers.
They argue she had overstepped her office’s legal mandate and could not tell parliament how to make laws.
Her action also could weaken the local currency and its stability‚ each party warned in legal papers.
In her media statement on Monday‚ Mkhwebane said she would not oppose their court action‚ but gave her reasons for suggesting the Reserve Bank’s mandate be changed Inexplicably. She said she believed other central banks such as the US central bank and Chinese central bank had wider mandates.
Public protector backs down on court challenge to her order that Parliament curb powers of Reserve Bank
Public protector Busisiwe Mkhwebane will not be opposing the Reserve Bank’s opposition to her order to parliament to amend the Constitution after she received legal advice not to.
Mkhwebane ordered parliament to change laws and the Constitution to ensure that the Reserve Bank’s mandate to protect the value of the currency was removed. This was in her report on whether the current government should try to recoup the apartheid’s government’s R1. 25 billion loan to Bancorp‚ now Absa‚ which was in financial distress at the time.
The Reserve Bank‚ Finance Minister Malusi Gigaba and then Parliament itself filed legal papers to oppose her plan to weaken the central bank’s powers.
They argue she had overstepped her office’s legal mandate and could not tell parliament how to make laws.
Her action also could weaken the local currency and its stability‚ each party warned in legal papers.
In her media statement on Monday‚ Mkhwebane said she would not oppose their court action‚ but gave her reasons for suggesting the Reserve Bank’s mandate be changed Inexplicably. She said she believed other central banks such as the US central bank and Chinese central bank had wider mandates.
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