this good. but the case for further regulation has not as yet been compelling. first and foremost, we should consider the contents of possible improvements. i would pinpoint three areas, among others, for consideration : first, greater transparency of rating methods and the overall role of rating agencies in the securitisation process. second, a marked difference in the metric used for rating bonds and structured products, which would restore confidence in ratings. this could be done in two ways, which could also be combined : either by adopting another rating scale for structured products ( with another symbol for example ) ; or by including an additional measure in the credit rating, in particular on its volatility in times of market or liquidity stress. third, a specific rating for liquidity risk. i am aware that rating agencies are considering this, despite the difficulties of such an exercise. we must hope that the discussions currently underway in international fora, such as the fsf and groups of central bankers in which the banque de france is actively involved, will restore the integrity of the ratings system, given its prominent role in the development of modern financial markets. ladies and gentlemen, thank you very much for your attention.

ultimately the cost of living for all south africans. 11 encouragingly, we are beginning to see some traction on reforms, particularly in the energy sector. while some strides have been made in removing structural barriers to entry for independent energy producers, the full benefits of these interventions will mostly materialise in the medium to long term. the sarb sees both potential growth 9 the budget deficit rose to 10 % of gdp in 2020 / 21 ‒ one of the highest in emerging markets. the sarb lowered the repo rate to 3. 50 % during the pandemic ‒ its lowest level in over 50 years. 10 the cumulative electricity shed from the grid in the first six months of 2023 amounted to just over 15 000 gwh, which is significantly higher than the 11 770 gwh shed in the whole of 2022. load - shedding is estimated to have contributed 0. 5 percentage points to domestic inflation this year. and output growth slightly higher over the medium term. 12 meanwhile, private sector investment in alternative energy is providing a welcome boost to fixed capital formation and is supporting domestic economic activity, particularly in the construction industry. investments in back - up energy solutions have cushioned business operations from the impacts of load - shedding and partly explain the resilience we see in the economy. despite high inflation eroding real incomes, household spending has grown over the past year, although its contribution to overall economic growth has been declining. high inflation and rising interest rates, alongside slower employment recovery and declining real disposable income, continue to weigh on consumer confidence, raising the prospect of further slowdowns in household consumption growth. 13, 14 slower domestic growth ultimately reflects in weaker fiscal numbers, especially so given the reversal in revenue windfalls. the current trajectory of the fiscus is characterised by elevated budget deficits and rising public debt levels. this has contributed to a higher risk premium, driving up the cost of borrowing, and depreciating the rand exchange rate, thereby raising exchange rate pass - through inflation. fiscal consolidation can significantly lower fiscal risk, and this should support macroeconomic stability and ultimately economic growth. conclusion finally, let me conclude by recommitting the sarb to the challenge posed by our constitution. our job is to contain inflation in the interests of balanced and sustainable growth. the sarb will continue to exercise its mandate to guide inflation and inflation expectations closer to the midpoint of the target band which, in turn, keeps demand and supply in the economy