SOUTH AFRICA has a new finance minister for the third time in less than a week. Pravin Gordhan, who was rushed into the position on Sunday night, is an old hand whose appointment went some way to calming worried investors after days of confusion. Briefing journalists on Monday, he confidently displayed the economic nous that until last week made South Africa’s financial institutions respected both at home and abroad. Mr Gordhan emphasised sound fiscal management and sober spending, particularly by state-owned enterprises such as South African Airways, the ailing national airline. “We are not going to make reckless decisions,” he said.
That promise may have come too late, given the events of the past few days. Mr Gordhan had served as finance minister from 2009 to 2014, and was succeeded by his respected deputy Nhanhla Nene, who attempted to rein in state spending, including on a controversial nuclear deal. Last week President Jacob Zuma fired Mr Nene and appointed David van Rooyen, a little-known backbencher with no experience of working in the national government. It was a move that took even the cabinet and the bigwigs of the African National...Continue reading
Source: Middle East and Africa http://ift.tt/1OrHB59
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