Mboweni at Stellenbosch: 'No room for ideology in financial crisis'

Tito Mboweni, governor of the South African Reserve Bank, gave his annual lecture on Friday at Stellenbosch University. More than 300 students and many faculty listened attentively as Prof Mboweni explained the causes and consequences of the current financial crisis. Responding to a question on whether the nationalisation of banks in Europe and America can be seen as a shift in ideology from free market principles, he said that central bank governors cannot afford to be ideological about these things. "We need to be pragmatic. Only when the storm subsides can we allow ourselves to sit back, and discuss the ideological implications of our decisions." Mboweni is an honorary professor in the Department of Economics and governor of the Reserve Bank since 1999.