## South Africa: Central Bank Transparency Code Review

_IMF Staff Country Reports, December 2, 2024_

## Source details

**Canonical URL:** [South Africa: Central Bank Transparency Code Review](https://www.imf.org/en/publications/cr/issues/2024/12/02/south-africa-central-bank-transparency-code-review-557776)

## Other formats

- [Markdown version](/en/publications/cr/issues/2024/12/02/south-africa-central-bank-transparency-code-review-557776/index.md)
- [Structured JSON version](/en/publications/cr/issues/2024/12/02/south-africa-central-bank-transparency-code-review-557776/index.json)
- [Bundle manifest](/en/publications/cr/issues/2024/12/02/south-africa-central-bank-transparency-code-review-557776/bundle-manifest.json)

## Bibliographic details
- Published: December 2, 2024
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400294983.002

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### Executive summary and key findings
- The paper focuses on South Africa’s Central Bank Transparency Code Review.
- The South African Reserve Bank (SARB)’s strategic commitment to open and transparent communications should be anchored in a more robust institutional communication framework.
- Communications about the SARB’s role in the reform of the Gold and Foreign Exchange Contingency Reserve Account settlement framework and the implications for its financial autonomy should be further clarified.
- The SARB’s monetary policy framework is comprehensive, transparent and understandable, but would benefit from greater transparency about setting the inflation target, policy deliberations, and alternative risk scenarios.
- The SARB has significantly increased the transparency and accountability of its monetary policy framework by adopting appropriate communications vehicles to reach different audiences and by publishing model-based forecasts.
- The SARB would also benefit from enhancing the transparency of well-established governance arrangements and policies in some areas.
- It is recommended to strengthen the transparency of certain aspects of the SARB’s legal structure and autonomy, by providing a general explanation of the SARB’s legal protections and its institutional and functional autonomy.

### Transparency and communications analysis
- Need for a more robust institutional communication framework to anchor SARB’s strategic commitment to open and transparent communications.
- Specific clarification required on SARB’s communications regarding:
  - the reform of the Gold and Foreign Exchange Contingency Reserve Account settlement framework;
  - the implications of that reform for SARB’s financial autonomy.
- The SARB has adopted communications vehicles tailored to different audiences and publishes model-based forecasts to enhance monetary policy transparency.

### Monetary policy framework assessment
- The monetary policy framework is characterized as comprehensive, transparent and understandable.
- Areas identified for enhanced transparency:
  - setting the inflation target;
  - internal policy deliberations;
  - presentation of alternative risk scenarios.

### Governance, legal structure, and autonomy
- SARB should enhance transparency around well-established governance arrangements and policies in some areas.
- Recommended action: provide a general explanation of the SARB’s legal protections and its institutional and functional autonomy to strengthen transparency of certain aspects of the SARB’s legal structure and autonomy.

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## Content in this bundle

- **South African Reserve Bank: Central Bank Transparency Code Review**
  - [South African Reserve Bank: Central Bank Transparency Code Review (Markdown version)](/-/media/files/publications/cr/2024/english/1zafea2024002-print-pdf.pdf.md){rel="alternate" type="text/markdown"}
  - [South African Reserve Bank: Central Bank Transparency Code Review (PDF)](/-/media/files/publications/cr/2024/english/1zafea2024002-print-pdf.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/cr/issues/2024/12/02/south-africa-central-bank-transparency-code-review-557776_