Thursday, November 19, 2009
From Creamer Media in Johannesburg, I'm Brad Dubbelman.
Making headlines:
South Africa's economic recovery appears to be lagging behind that of the global economy, said the South African Reserve Bank (SARB) in its November Monetary Policy Review yesterday. Nevertheless, there are convincing signs that the low point of the current growth cycle has been reached and that positive growth will resume by the fourth quarter of this year.
The review stated that the global recovery has already been reflected in an improved export performance in the past months, but the domestic recovery is expected to be hesitant, driven by the inventory cycle and fixed investment projects.
The SARB added that the global inflation environment remains benign, with relatively wide output gaps and lower commodity prices contributing to this outcome. Domestic inflation has also responded to the weak demand conditions, and the inflation rate has reached a level marginally above the inflation target range.

Zimbabwe's Parliament has unanimously approved a bill to reform the Central Bank, including a reduction in the powers of governor Gideon Gono, who is accused by critics of policies that ruined the economy.
The bill is the first major law to be passed by Parliament since the formation of a unity government between Prime Minister Morgan Tsvangirai and rival President Robert Mugabe in February.
Zanu-PF legislators last week threatened to block the bill, arguing that it targeted Gono, a Mugabe ally with whom Finance Minister Tendai Biti has had an uneasy relationship. But an agreement was reached between Biti and Zanu-PF lawmakers to make changes to the bill, including a clause giving immunity to the bank governor and employees "for anything done in good faith and without negligence".

South Africa will set up a new anticorruption ministerial task team to take strong action against graft in the public sector. Cabinet spokesperson Themba Maseko said yesterday that the government takes very strong exception to corruption as this is a matter that has a negative impact on the country's reputation and investor relations.
According to Transparency International's 2009 Corruption Perceptions Index, released on Tuesday, South Africa ranked fifty-fifth out of 180 countries surveyed, and fifth in Africa behind Botswana, Mauritius, Cape Verde and the Seychelles.

Also making headlines:
South Africa's Central Bank says that the country's interest rate level is "adequate" for targeting inflation.
The United Nations Food and Agriculture Organisation's summit on food security is undermined by a low attendance by world leaders.
The SA Cabinet seeks options to reduce Eskom's tariff increase bid.
And, Deputy Police Minister Fikile Mbalula says that police do care about civilian deaths in the fight against crime.
That's a roundup of news making headlines today.