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Banks (Finance)

Public Hearing on SARB Amendment Bill Set for Wednesday

Strategic Insights

— 1 min read

A public hearing on the South African Reserve Bank (SARB) Amendment Bill has been scheduled for Wednesday, with interested parties having until midday on the same day to make written submissions and indications for oral submission. The bill, introduced in Parliament by EFF leader Julius Malema, seeks to amend the SARB Act to make the State the sole shareholder of the shares in the bank. The hearing comes after members of the public and stakeholders were given an opportunity to comment on the bill until June 30.

Key Takeaways:

  • The SARB Amendment Bill aims to amend the SARB Act to make the State the sole shareholder of the shares in the bank, with a current director of the bank or any member of the public able to nominate persons to serve as appointed directors of the bank.
  • The bill proposes that the appointed board directors shall hold office for three years, and the Minister of Finance shall exercise the rights attached to the shares in the bank on behalf of the State.
  • The current shareholders of the SARB were 650 when the bill was introduced in Parliament, and the Minister shall appoint two firms of public accounts to act as auditors of the SARB for every financial year.
  • The public hearing on the SARB Amendment Bill is set to take place in a virtual meeting platform on Wednesday, with written submissions and indications for oral submission due by midday.
  • The bill was first introduced in Parliament in August 2018 but lapsed in May 2019, only to be revived in October the same year.

Statistics:

  • 650: Number of current shareholders of the SARB when the bill was introduced in Parliament.
  • 3 years: Term of office for appointed board directors of the SARB.
  • 2: Number of firms of public accounts to be appointed by the Minister to act as auditors of the SARB for every financial year.
  • June 30: Deadline for members of the public and stakeholders to comment on the SARB Amendment Bill.
  • August 2018: Date the SARB Amendment Bill was first introduced in Parliament.
  • September 2021: Date the standing committee on finance resolved to conduct a second round of public hearings on the SARB Amendment Bill.

Sources:

  • Parliament programme
  • EFF leader Julius Malema
  • SARB Act
  • Parliamentary Budget Office

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