On Monday, Public Protector Busiswe Mkhwebane said that the bank had failed in its duties to protect the public by not ensuring that Absa bank repaid an apartheid-era bailout given to failed bank Bankorp.
But she also said the mandate of the bank's monetary policy should change and that it should no longer focus on protecting the value of the currency.
The Reserve Bank now says it believes that her remedial action is unlawful and out of the scope of her powers and that it will challenge the findings in court.
