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Andrew Motshidisi on Africa’s debt and what it means for reserve managers

The former deputy governor of Bank of Botswana talks about international capital flows, and the need for countercyclical policies and robust legal frameworks to secure long-term stability

Andrew Motshidisi, former deputy governor at Bank of Botswana

Against a backdrop of growing trade disputes, and policy normalisation in some Western economies, what are the main challenges facing African reserve managers?

In relation to the trade disputes, I don’t think most African countries will be affected due to the fact that they are not directly targeted. However, the second-round effects could be devastating, especially if global output is reduced by virtue of the tariffs increased by various countries. In that instance, what could likely happen is

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