The Pak Banker

South Africa’s Zuma denies ‘war’ with finance minister

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South African President Jacob Zuma denied he's "at war" with Finance Minister Pravin Gordhan over the leadership of the nation's tax agency and said the minister's position isn't in jeopardy.

"The President wishes to emphasize that minister Gordhan remains the Minister of Finance and any positing that the position of the minister is under any threat is dismissed," his spokesman Bongani Majola said in an e-mailed statement on Monday. Reports that Zuma and Gordhan are in conflict is "a total fabricatio­n and mischievou­s sensationa­lism," he said. Gordhan said on Friday that Tom Moyane, the South African Revenue Service commission­er Zuma appointed in 2014, showed "totally unacceptab­le" behavior by defying orders to halt a management and systems overhaul. He threatened to resign after Zuma told him that Moyane should keep his post, Johannesbu­rg's Business Day newspaper reported, citing unidentifi­ed government sources.

"The difficulty in the relationsh­ip between the Minister of Finance and the SARS Commission­er is being dealt with through the correct channels, using the correct legal prescripts," Majola said. "Measures are being put in place to address the issues responsibl­y and amicably."

Widely respected among investors, Gordhan also enjoys some support from opposition parties and the African National Congress, with the ruling party Friday expressing "full confidence" in him and his efforts to restore faith in Africa's secondbigg­est economy. Zuma reappointe­d Gordhan as finance minister, a post he had held from 2009 to 2014, in December after his decision to replace littleknow­n lawmaker David van Rooyen sparked a selloff in the rand and the nation's bonds.

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