The perception that the Reserve Bank needs to buy foreign exchange from the market to close out the NOFP leads to a perceived "one way bet" on the fortunes of the rand.
2  BIS Review 39/2001  This is a misguided notion, however, as the Reserve Bank realises that buying US dollars from the market, as and when conditions permit, has achieved what could reasonably be expected. Our policy position is that we will continue to work the NOFP down as and when economic and financial conditions are favourable.