Special Investigating Units and Special Tribunals Act, 1996
R 385
South African Reserve Bank Act, 1989 (Act No. 90 of 1989)10. Powers and duties of Bank |
| 1) | The Bank may, subject to the provisions of section 13- |
| a) |
| i) | make banknotes or cause banknotes to be made; |
| ii) | coin coins or cause coins to be coined; |
| iii) | issue banknotes and coins, or cause banknotes and coins to be issued, for use in the Republic; |
| iv) | make, or cause to be made, banknotes to be issued for use in another State, and coin, or cause to be coined, coins to be so issued; and |
| v) | destroy banknotes and coins or cause them to be destroyed; |
| b) | with the object of making banknotes or coining coins, and with any object incidental thereto, form companies in accordance with the provisions of the Companies Act, 1973 (Act 61 of 1973), and take up shares in such companies; |
| c) |
| i) | perform such functions, implement such rules and procedures and, in general, take such steps as may be necessary to establish, conduct, monitor, regulate and supervise payment, clearing or settlement systems; |
| ii) | form, or take up shares or acquire an interest in, any company or other juristic person that provides- |
| aa) | a service for the purpose of or associated with; or |
| bb) | any facility for or associated with, |
| iii) | the utilisation of any such payment, clearing or settlement systems; |
| iv) | perform the functions assigned to the Bank by or under any law for the regulation of such payment, clearing or settlement systems; and |
| v) | participate in any such payment, clearing or settlement systems; |
| d) | acquire shares in a limited company formed and registered in accordance with the provisions of the Companies Act, 1973, if the Board is of the opinion that any such acquisition will be conducive to the attainment of any of the objects of this Act; |
| e) | accept money on deposit, allow interest on any deposit or on a portion of a deposit and collect money for other persons; |
| f) | grant loans and advances: Provided that unsecured loans and advances may be granted only in the following cases, namely- |
| i) | an unsecured loan to the Government of the Republic or to a company referred to in paragraph (b) or, with the approval of the Board, to any company in which the Bank has acquired shares in accordance with the provisions of paragraph (d); |
| ii) | an unsecured loan or advance, at such rate of interest as the Board may from time to time determine, to an officer or employee of the Bank- |
| aa) | in order to enable such officer or employee to acquire a dwelling for his own use, in a case where, owing to the nature of the rights of the officer or employee in respect of the property in question, such property cannot in law be mortgaged in favour of the Bank; or |
| bb) | for the purposes of the implementation of a motor-car scheme which, in terms of the rules made by the Board under section 35, forms part of the conditions of service of the officer or employee; |
| g) | buy, sell, discount or re-discount bills of exchange drawn or promissory notes issued for commercial, industrial or agricultural purposes, or exchequer bills of the Government of the Republic or of the government of any other country, or securities of a local authority in the Republic; |
| h) | buy, sell or deal in financial instruments and, in accordance with the provisions of any law regulating the safe deposit of securities, hold such financial instruments in safe custody, or cause such financial instruments to be held in safe custody, for other persons; |
| i) | issue its own interest-bearing securities for purposes of monetary policy and buy, sell, discount or re-discount, or grant loans or advances against, such securities; |
| j) | subject to the provisions of section 13(a) and (b), enter into repurchase agreements with any institution in respect of interest-bearing securities or such other securities as the Bank may determine; |
| k) | buy, sell, or deal in precious metals and hold in safe custody for other persons gold, securities or other articles of value; |
| l) | buy and sell foreign currencies; |
| m) | buy, sell, accept or deal in special drawing rights; |
| n) | open credits and issue guarantees; |
| o) | effect transfers in accordance with generally accepted banking practice, and sell drafts drawn on its branches and correspondents; |
| p) | establish branches or appoint agents and correspondents in or outside the Republic; |
| q) | open accounts in foreign countries and act as agent or correspondent of any bank carrying on business in or outside the Republic; |
| r) | make arrangements or enter into agreements with any institution in a foreign country to borrow, in such manner, at such rate of interest and subject to such other terms and conditions as the Bank may deem fit, any foreign currency which the Bank may consider it expedient to acquire; |
| s) | perform such other functions of bankers and financial agents as central banks customarily may perform; |
| t) | lend or advance money on security of a mortgage of immovable property or of a notarial or other bond or a cession thereof, to any officer or employee or former officer or employee of the Bank for the purpose of enabling any such officer or employee to acquire a dwelling for his own use: Provided that- |
| i) | if the Board is of the opinion that the value of any security held against any loan or advance is insufficient, the Bank may accept as additional security a mortgage bond on immovable property or any other security approved by the Board; and |
| ii) | if any immovable property so mortgaged is sold for the purpose of satisfying the mortgage debt and the purchase price obtainable is insufficient to cover the whole of the Bank's claim in connection with the mortgage, the Bank may buy in that property and realize it at such time and in such manner as the Board may determine; |
| u) | acquire immovable property required by the Bank for business purposes or for the purpose of providing a dwelling for any officer of the Bank, and sell, dispose of, donate or otherwise alienate any such immovable property: Provided that a donation of such immovable property may only be made with the approval of the Board; |
| v) | perform the functions assigned to the Bank by the Banks Act, 1990 (Act 94 of 1990), and the Mutual Banks Act, 1993 (Act 124 of 1993). |
| 2) | The rates at which the Bank will discount or re-discount the various classes of bills, promissory notes and other securities, shall be determined and announced by the Bank from time to time. |
