Abstract
This study examines the impact of the South African Reserve Bank’s (SARB) communication of monetary policy decisions via the social media channel Platform X (formerly Twitter and later X). A quantitative, cross-sectional design was used to measure four constructs: SARB Communication (SARBC), Accessibility (ACC), Understanding of Monetary Policy (UMP) and Public Engagement (PE).
The findings reveal a nuanced landscape. Respondents were highly educated and economically active, expressing strong interest in monetary policy and valuing its influence on personal financial decision-making ‒ contradicting the common perception that the public shows limited interest in central bank communication. Perceptions of the SARB’s communication were largely positive, driven by its credibility and relevance. However, a notable gap emerged between strong factual knowledge (e.g. awareness of the inflation target) and weaker conceptual understanding of monetary policy principles. Accessibility scored the lowest among the measured constructs. Regression analysis showed that SARBC did not directly drive engagement; rather, it influenced engagement indirectly by improving understanding and making information easier to access and relate to.
The results suggest that to deepen public engagement on Platform X, the SARB should move from a broadcast model to a two-way, educational and accessible approach. Recommendations include simplifying language, using visual storytelling and developing explainer content to strengthen understanding and participation.
This study contributes to the ‘second wave’ of central bank communication, which prioritises clarity and inclusivity over mere transparency and expert-oriented discourse. It offers empirical evidence from a non-Western context, demonstrating how communication can indirectly foster engagement and trust, thereby strengthening democratic accountability and policy effectiveness.