| Abstract: | The annexation of the then South West Africa by South Africa after the First World War resulted in the incorporation of Namibia into the South African monetary system. The South African Reserve Bank maintained a branch in Windhoek from 1961 until independence in 1990. After gaining independence, Namibia established its own central bank, the Bank of Namibia. The functions which the Bank has performed since its inception can be grouped broadly into two: service rendering functions and policymaking functions.The former includes the issuance of a legal tender currency and acting as banker and financial adviser to the government, and the latter the promotion of monetary stability and a sound financial structure and the maintenance of external resources in order to safeguard the external value of the currency. The article concludes that the Bank's policy on bank reserves not only exerts a powerful influence on the flow of bank credit and money, but also on liquidity and the availability of credit in general. However, the country's membership of the Common Monetary Area (CMA) as well as the increasing role the South African Reserve Bank plays also influence economic activities in Namibia. Ref. |
Africana Periodical Literature 
Periodical article
Leiden University catalogue
WorldCat
