BIS central bankers’ speeches  1  Vulnerabilities Our most important vulnerabilities are the twin deficits: the fiscal deficit and the current account deficit. We are also concerned about household indebtedness and therefore exposure to higher interest rates. At the moment, South Africa is running a current account deficit worth more than 6% of GDP.
3  Several authors have claimed that the unit of account function is not necessarily connected with money’s medium of exchange function; see Wicksell (1906), Lectures on Political Economy, London; and Niehans J. (1978), The Theory of Money, Baltimore.