SARB points to pitfalls of exchange rate rigidity

gill-marcus

The Greek debt crisis has demonstrated the difficulties caused when central banks are unable to manipulate the exchange rate, Brian Kahn, an advisor to Gill Marcus, the governor of the South African Reserve Bank (SARB), said on Thursday.

"The Greek example has shown the difficulty of a fixed exchange rate scenario," Kahn said at the post-policy media conference, in response to a question on whether the SARB had the power to appease trade unions and banks in South Africa who have called for a wea

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