Policy Bulletin 05: The impact of global FX liquidity on the rand

The Covid crisis saw significant declines in market liquidity and calls for central banks to step in. Most research into foreign exchange (FX) liquidity does not consider a large cross-section of emerging market currency pairs or include the rand (ZAR) in its analysis, so this note sheds light on the intra-day behaviour of foreign currency […]

Policy Bulletin 04: Electricity reforms: Experience and approach

South Africa has been experiencing electricity shortages since 2008. Load shedding is taking place even at the moment, despite a large contraction in economic activity due to the Covid-19 crisis. It is time to reform the electricity market and breakdown Eskom’s vertically integrated monopoly. An efficient energy production and a competitive energy market are the […]

Policy Bulletin 01: A fair price for economic modelling? Transparency required

The principle of transparency is the only way that policy makers can understand the limitations of a model and use its outputs effectively to inform policy. In the absence of this transparency, there is no accountability and claims cannot be tested. An example of this is the recent report by Applied Development Research Solutions (ADRS). […]