1/ Bold and appropriate move. South Africa’s @SAReserveBank cuts 100bps at an emergency meeting. Next meeting on 21 ‘May is still on. Inflation is subdued, real rate still positive at 4.25% now. QPM frontloaded cuts. Local curves steepen, but react well.

2/ Now we need decisive action from the government @tito_mboweni comments that South Africa is in talks with international organizations. @SAReserveBank cannot and should not solve budget financing problem. @IMFNews and @WorldBank have facilities available.

3/ External financing needs are significant in South Africa. Given the structural budget and growth issues doubt South Africa can qualify for Flexible Credit Line. Only Mexico, Poland and Columbia had used it in the past. Columbia just applied again.
https://www.iif.com/Publications/ID/3825/Macro-Notes-South-Africa--In-Need-of-IMF-Program

4/ South Africa should approach the @IMFNews for Rapid Financing Instrument (RFI) resources for it were just doubled to 100% of quota and process simplified. However, South Africa will likely need more. But it is important to start. https://www.imf.org/en/News/Articles/2020/04/09/pr20143-imf-executive-board-approves-proposals-enhance-emergency-financing-toolkit-us-billion