The chief executive of Anglo Platinum, Ralph Havenstein, has expressed concern over the South African Reserve Bank's tough policy on inflation.

He warned that this approach allied to the country's high interest rates was holding back job creation and risked the closure of mines.

Mr Havenstein explained to Business Day that the bank's inflation target would maintain the rand's current strength, which increases operating costs for mining companies.

"One wonders whether SA needs a three per cent to six per cent inflation target. If we stick with this inflation rate, the rand will remain strong and that will have an effect on jobs," the Angloplat boss stated.

Angloplat has revised its contingency plans for coping with a further strengthening of the rand, which include proposals to slowdown investment and production, with the possible closure of some mines.

Mr Havenstein concluded: "We have an overhang from the weak rand situation [of a few years ago] when it wasn't that easy to control costs. The present situation in the industry is uncomfortable."