Investors should not panic

MOST South Africans would arguably like to believe that the volatility experienced this year is over and that we’re ready to kick off the New Year on a clean slate.

We have lived through the unexpected cabinet reshuffle earlier in the year, the technical recession, the ratings downgrades, the Gupta leaks and the myriad (and sometimes tasteless) political jabs.

It is not over yet. There have just been two landmark High Court judgments against President Jacob Zuma. They point to him losing his grip on power.

The one judgment disqualifies him from appointing the head of the NPA after the court set aside the appointment of Shaun Abrahams as the head of prosecutions.

The other upheld the remedial action of the State of Capture report issued by ex-public protector Thuli Madonsela, in November last year, and ordered a commission of inquiry headed by a judge selected by the chief justice be appointed within 30 days.

After these setbacks, Zuma must preside over the ANC elective conference, scheduled from Saturday to Wednesday, in Gauteng.

For a while there was a concern that the conference might not go ahead, unlikely.

What if the losing candidate or faction decided to challenge the outcome in the courts? The depth of divisions in the ruling party make this a possibility, with the fact that provinces had completed their conferences days before the National Conference. Our courts may continue to (lawfully) intervene in the ANC’s affairs.

Should investors panic? No. Different political scenarios play out all the time and eventually stability is achieved. We are a resilient nation. This time simply calls for investors to ensure that their portfolios are diversified and are agnostic to any particular outcome. Tandisizwe Mahlutshana

Judgments point to Zuma losing his grip on power