Given that this is going to happen, some other countries must run deficits – this is another important balance of payments identity which must hold. If no other country was prepared to run a deficit, then the world economy would enter a downward spiral with ex ante saving greater than ex ante investment.
SARB debentures increased by R9,6 billion to R28,0 billion at the end of April 2009. The longer-term reverse repos were mostly unchanged around R7,6 billion. Government deposits at the SARB increased by R2,7 billion; much of this is related to accrued interest.