Exchange control was first introduced in South Africa in 1939. Section 9 of the Currency and Exchange Act (Act No 9 of 1933) empowers the President to make regulations on the currency, banking or exchange.
The purpose of exchange control is two-fold:
Exchange Control monitors the movement of financial and real assets (money and goods) into and out of South Africa, simultaneously avoiding interference with the performance of the commercial, industrial and financial systems of the country.
The controls are administered by the South African Reserve Bank through the authorized dealers available at every South African bank. All the monies transferred from overseas into South Africa or from South Africa into another country, have to be declared with the reserve bank.
For more information please log onto www.reservebank.co.za