PRETORIA, March 2 South Africa's central bank on
Thursday said it would put up for sale nearly 150,000 of its
shares owned by people who have exceeded limits set by a court
to prevent undue influence in the regulator.
South African Reserve Bank Governor Lesetja Kganyago told
reporters the bank had identified certain people amassing
shares, and that this posed a danger to the bank's independence.
He did not identify the shareholders.
"These shareholders who decided to buy shares as families
and as associates, you could see that they were trying to exert
undue influence, or influence disproportionate to the statutory
limit," Kganyago said.
Shares in the bank may be acquired by means of an
over-the-counter share trading facility and earn a dividend of
10 South African cents per share annually.
A 2016 court ruled that anyone holding more than 10,000
shares in the central bank must sell their extra shares, in line
with a 2010 amendment to the constitutional act to bring down
the statutory limit.
The amendment also limits the rights of shareholders to
nominate non-executive directors, vote on remuneration or the
appointment of auditors, the bank said.
Discontent around the racial profile of economic ownership
and wealth in South Africa has increased in recent years as
economic growth stalled, unemployment climbed to record highs
and poverty levels fuelled crime and political uncertainty.
(Reporting by Mfuneko Toyana; Editing by James Macharia/Jeremy