Odds are against Gigaba

None of the former finance ministers, including Pravin Gordhan, had experience in managing a country’s finances. Yet all of them learnt on the job and went on to prove themselves.

Thanks to their sterling work SA has a stable economy. If this were the only consideration, Malusi Gigaba would stand an equal chance of learning the ropes and excelling in the same way as his predecessors.

However, the prevailing political climate and the circumstance preceding his appointment have stacked the odds against him and will most certainly affect his learning curve. His predecessor was unceremoniously recalled from a road show that would have benefited him (Gigaba) immensely had Gordhan been allowed to complete it.

Gigaba will now have to reconvene the road shows amid a cloud of suspicion and preconceived attitude of investors. Standard & Poor’s have already thrown down the gauntlet by reducing the country’s rating to junk status.

Unlike other ministries the Treasury is an openly assessed department whose outcomes have a direct effect on the survival of the country’s economy. The department draws keen interest from international markets and this is perhaps the reason finance ministers come across as superior to their cabinet colleagues.

Gigaba’s success will lie in building on the existing fiscal discipline, collecting additional revenue and by the stance he adopts on the controversial nuclear deal.

Peter Monyuku

Wendywood