Mr Lumkile Mondi further indicates that exchange rate management could contribute to higher dividend receipts (in rand terms) from South African investments abroad and potentially enhances the wealth effect for South African holders of offshore assets. Positive fiscal implications include potentially higher tax revenues due to increased economic activity, improved corporate returns and higher household incomes through employment gains. Implications of the Balance of Payments may be positive if export demand recovers substantially and significant import substitution is realised.