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South Africa Central Bank Nationalization Expensive, Governor Says

  • Nationalization could be protracted legal process, he says
  • ANC decided in December Reserve Bank should be state-owned
South Africa's Reserve Bank Launches New Mandela Commemorative Banknotes
Photographer: Waldo Swiegers/Bloomberg

The nationalization of the South African Reserve Bank could be a protracted and expensive legal process because some of its shareholders seek to make a profit out of the move, Governor Lesetja Kganyago said.

“A group of shareholders is agitating for the SARB’s nationalization as they believe that they are entitled to a share of the assets of the SARB and see this as an opportunity to make enormous profits at the expense of taxpayers,” Kganyago said at its annual general meeting Friday in Pretoria, the capital. “This for what would, at best, be a cosmetic gain.”