Essays on financial market development, monetary policy, and financial stability in South Africa

Abstract

Like in many other countries, the South African financial markets play an important role in the transmission of monetary policy and are crucial for promoting financial stability in South Africa. The goal of financial market development is to make the financial system better able to share risks effectively by combining domestic and international savings to finance investment and consumption. This thesis examined financial market development, monetary policy, and financial stability in South Africa from 2003 and 2020. The study aimed at addressing four specific objectives. Firstly, the study gives an overview of the financial market, monetary policy conduct and financial stability in South Africa. Secondly, it investigated the dynamic interactions between financial market and monetary policy in South Africa.