An empirical capital market rate function for South Africa

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Authors

Pretorius, Elna
Du Toit, Charlotte Barbara

Journal Title

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Volume Title

Publisher

Faculty of Economic and Management Sciences, University of Pretoria

Abstract

The aim of this paper is to explain the determinants of the South African long-term interest rate. A market-related approach is followed which explains interest rate determination on the basis of the relationships between the capital market and other domestic and international markets. Some implications for monetary policy are derived.

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Keywords

South Africa, Socio-political environment, Domestic markets, Capital markets, Secondary capital market, Primary capital market, Long-term interest rates, International markets, Interest rates, Finance, Economics

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Citation

Pretorius, E & Du Toit, C 2001, 'An empirical capital market rate function for South Africa', South African Journal of Economic and Management Sciences, vol. 4, no. 1, pp. 66-89. [http://www.journals.co.za/ej/ejour_ecoman.html]