South Africa budget exposes divided ANC
Finance minister Gordhan widely seen as being at loggerheads with President Jacob Zuma
South Africa’s Finance Minister Pravin Gordhan was expected to deliver the annual budget in parliament yesterday as he battles to revive the economy and head off loyalists of the president who seek to oust him.
Gordhan, a popular figure in South Africa and among international investors, is widely seen as being at loggerheads with President Jacob Zuma, who has shrugged off a series of recent corruption scandals.
The ruling African National Congress (ANC) has been engulfed by friction between Zuma’s plans for funding “radical economic transformation” and Gordhan’s stand against graft and uncontrolled expenditure.
“The budget will allow Gordhan to show his independence as the head of treasury and not be influenced by politics,” political analyst Mcebisi Ndletyana said.
“But he also has to find some money to support Zuma’s projects — that could prove to be very difficult in this economic climate.”
Gordhan last year faced fraud charges that were criticised as a move against him by Zuma’s associates as political turmoil spooked investors and saw the rand plummet.
The charges were dropped at the last minute, exposing tensions in the ANC as several ministers came support.
The ANC youth league, women’s league and its military veterans association have all called for him to resign. out
On borrowed time?
in Gordhan’s
Gordhan’s future has come under the spotlight again ahead of the budget, with speculation of an imminent cabinet reshuffle to axe him — a step likely to trigger another crisis of confidence in the markets.
Uncertainty increased last week with the announcement that Zuma-ally Brian Molefe, the former chief executive of the state-owned power generator Eskom, was heading for parliament as a new lawmaker.
“You don’t bring someone of Molefe’s calibre into parliament just to make him a backbencher,” said Ndletyana.
In a pre-budget interview with television news channel eNCA, Gordhan, 67, admitted that he was “not indispensable”, adding “we are just humble civil servants.”