No data available for the deliverable: Restructuring the Gold and Foreign Exchange Contingency Reserve Account to manage forex reserves and reduce government borrowing.
Summary
The reform introduced a new settlement framework for the Gold and Foreign Exchange Contingency Reserve Account (GFECRA), allocating R250bn between the SARB and National Treasury to stabilise public finances and improve transparency. COMPLETE: We stopped tracking this reform at end-June 2025 as The GFECRA settlement framework reform has been fully completed as planned with the R100bn contigency reserve transferred to the SARB and the first tranche of R150bn distributed to National Treasury (NT) - all in line with the 2024 agreement.
View DetailsIs it working?
Fully implemented: Fiscal risk reduced, transparency improved and market confidence boosted. Ongoing monitoring and reporting ensure the framework remains effective. The GFECRA reform is viewed as a benchmark for fiscal transparency in emerging markets.
Actions
The reform has been fully implemented, with immediate positive effects on fiscal metrics, market confidence and government borrowing costs. The transparent process has been widely praised by analysts and international observers.
Are there plans?
The settlement was signed in June 2024, with R100bn allocated to the SARB’s contingency reserve and R150bn to National Treasury, distributed in tranches to manage market impact.
Is it on the agenda?
The GFECRA reform was a flagship Treasury and SARB initiative, forming a key part of the 2024 Budget and subsequent fiscal strategy. This was prioritised in the 2024 budget and in SARB and National Treasury statements.
Goals
The aim of this reform is to enhance fiscal sustainability by transparently managing South Africa’s gold and foreign exchange reserves, and reducing government borrowing costs and fiscal risk.
Departments / Govt Institutions
Summary
The reform introduced a new settlement framework for the Gold and Foreign Exchange Contingency Reserve Account (GFECRA), allocating R250bn between the SARB and National Treasury to stabilise public finances and improve transparency. COMPLETE: We stopped tracking this reform at end-June 2025 as The GFECRA settlement framework reform has been fully completed as planned with the R100bn contingency reserve transferred to the SARB and the first tranche of R150bn distributed to National Treasury (NT) - all in line with the 2024 agreement. SARB/Treasury overhauled foreign exchange contingency account and reserve management, aiming for efficiency and budget improvement. SARB managed account restructuring, government borrowing and the deficit reduced.
View DetailsIs it working?
Fully implemented but we will keep tracking this reform for efficacy. Fiscal risk has been reduced, transparency improved and market confidence boosted. Ongoing monitoring and reporting ensure the framework remains effective. The GFECRA reform is viewed as a benchmark for fiscal transparency in emerging markets. There is full account restructuring as well as ongoing monitoring.
Actions
The reform has been fully implemented, with immediate positive effects on fiscal metrics, market confidence and government borrowing costs. The transparent process has been widely praised by stakeholders and outcomes have been positive, the fiscal improved and policy benchmarks have been met.
Are there plans?
The settlement was signed in June 2024, with R100bn allocated to the SARB’s contingency reserve and R150bn to National Treasury, distributed in tranches to manage market impact. In addition to implementation and reporting, there are audits along with with sector consultations.
Is it on the agenda?
The GFECRA reform was a flagship Treasury and SARB initiative, forming a key part of the 2024 Budget and subsequent fiscal strategy. This was prioritised in the 2024 budget and in SARB and National Treasury statements. This is a National Treasury Cabinet fiscal cluster priority in addition to being part of the SARB monthly review.
Goals
The aim of this reform is to enhance fiscal sustainability by transparently managing South Africa’s gold and foreign exchange reserves, and reducing government borrowing costs and fiscal risk to manage forex reserves.
Departments / Govt Institutions
Summary
The reform introduced a new settlement framework for the Gold and Foreign Exchange Contingency Reserve Account (GFECRA), allocating R250bn between the SARB and National Treasury to stabilise public finances and improve transparency. COMPLETE: We stopped tracking this reform at end-June 2025 as The GFECRA settlement framework reform has been fully completed as planned with the R100bn contingency reserve transferred to the SARB and the first tranche of R150bn distributed to National Treasury (NT) - all in line with the 2024 agreement. SARB/Treasury overhauled foreign exchange contingency account and reserve management, aiming for efficiency and budget improvement. SARB managed account restructuring, government borrowing and the deficit reduced.
View DetailsIs it working?
Fully implemented but we will keep tracking this reform for efficacy. Fiscal risk has been reduced, transparency improved and market confidence boosted. Ongoing monitoring and reporting ensure the framework remains effective. The GFECRA reform is viewed as a benchmark for fiscal transparency in emerging markets. There is full account restructuring as well as ongoing monitoring.
Actions
The reform has been fully implemented, with immediate positive effects on fiscal metrics, market confidence and government borrowing costs. The transparent process has been widely praised by stakeholders and outcomes have been positive, the fiscal improved and policy benchmarks have been met.
Are there plans?
The settlement was signed in June 2024, with R100bn allocated to the SARB’s contingency reserve and R150bn to National Treasury, distributed in tranches to manage market impact. In addition to implementation and reporting, there are audits along with with sector consultations.
Is it on the agenda?
The GFECRA reform was a flagship Treasury and SARB initiative, forming a key part of the 2024 Budget and subsequent fiscal strategy. This was prioritised in the 2024 budget and in SARB and National Treasury statements. This is a National Treasury Cabinet fiscal cluster priority in addition to being part of the SARB monthly review.
Goals
The aim of this reform is to enhance fiscal sustainability by transparently managing South Africa’s gold and foreign exchange reserves, and reducing government borrowing costs and fiscal risk to manage forex reserves.
Departments / Govt Institutions
No data available for the deliverable: Restructuring the Gold and Foreign Exchange Contingency Reserve Account to manage forex reserves and reduce government borrowing.
No data available for the deliverable: Restructuring the Gold and Foreign Exchange Contingency Reserve Account to manage forex reserves and reduce government borrowing.
No data available for the deliverable: Restructuring the Gold and Foreign Exchange Contingency Reserve Account to manage forex reserves and reduce government borrowing.
No data available for the deliverable: Restructuring the Gold and Foreign Exchange Contingency Reserve Account to manage forex reserves and reduce government borrowing.