Statement on the governor's term of office

Over the past couple of days a number of news reports have given the impression that I was stepping down as Governor of the Bank. We invited you here this morning to put the record straight.

It would seem that there are at least four issues to be clarified.

Firstly, the processes of appointing the Governor of the Bank. In terms of Section 4(1) (a) of the South African Reserve Bank Act, the President of the Republic of South Africa appoints a governor of the bank after consultations with the Minister of Finance and the Board of Directors of the Bank.

Secondly, the South African Reserve Bank Act Section 5(1) stipulates that the Governor "shall hold office for a period of five years". The President of the Republic is the appointing authority.

Thirdly, the act is silent regarding the number of terms that a governor may serve.

Fourthly, my own position is that I have been Governor of the Bank since August 1999 and I will complete my current term in August 2009. If asked to serve, I will. That should put that issue to rest and I will not entertain that question in future.

Statement issued by South African Reserve Bank September 2 2008