Comments are nice, but clarity is better

What central banks say is as important as what they do. In the past week, the rand has weakened based on comments from a member of the US Federal Reserve Board who said that interest rates in the US may remain high for a long time. Here in South Africa, analysts expect the Monetary Policy Committee to leave the repo rate unchanged but are ready to listen closely to the tone of the statement. Why don't Central Bankers just say what they think and plan? This episode is supported by the Bureau of Economic Research in Stellenbosch and the NWU Business School.