[10] In other words, the slope of the IS curve may be different when interest rates are low, or when they have been low for a protracted period of time. Evidence is too scant to draw definitive conclusions at this stage.
An important structural change also occurred in South Africa’s banking sector after an international bank obtained a controlling share of a major local bank by means of the largest single foreign direct investment into South Africa to date – together with other significant foreign direct investment announcements which are also indicative of an increasingly positive investment outlook for South Africa.