What is buying and selling of bonds by SARB called?

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2026-04-05 19:35

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The buying and selling of bonds by the South African Reserve Bank (SARB) is referred to as open market operations. This process is used to regulate the money supply and influence interest rates in the economy. By purchasing bonds, SARB injects liquidity into the financial system, while selling bonds helps to absorb excess liquidity. These operations are essential for achieving the central bank's monetary policy objectives.

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