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Author Grandes, Martin ♦ Pinaud, Nicolas
Source OECD iLibrary
Content type Text
Publisher OECD Publishing
Language English
Subject Domain (in DDC) Social sciences ♦ Economics ♦ Microeconomics & related topics
Subject Keyword Development
Abstract . Lowering interest rates and, thus, the cost of borrowing in the rand zone (Lesotho, Namibia, Swaziland and South Africa) is a priority to promote investment and economic growth. . Local-currency interest rates in these countries are driven by those on rand-denominated transactions. Reducing the level and volatility of the rand premium would help reduce ?nancing costs in the region. . Policies should promote: enhancing ?nancial-market liquidity; easier access to South African ?nancial markets for African entities; domestic saving capacity; and the improvement of international perception of the rand. . Johannesburg could become a ?nancial "hub" for the region, channelling cheap resources to its neighbours.
Learning Resource Type Article
Publisher Date 2004-09-15

Source: OECD iLibrary