SA has about a year to cash in on ‘Ramaphosa rally’, Citi analyst says
President Cyril Ramaphosa must quickly show international investors his government can implement reforms to take advantage of a weak dollar and growth in China, according to Citi’s head of emerging markets. The crucial period starts with Wednesday’s annual budget and runs until elections, due in 2019, Citi’s David Lubin said. The rand, bonds and stocks have climbed to record highs due to what analysts have dubbed the "Ramaphosa rally", a buoyant market mood that has taken hold since Ramaphosa was elected leader of the ANC in December and then president of SA. During Ramaphosa’s maiden state of the nation address on Friday, a day after replacing scandal-plagued Jacob Zuma as president, the rand surged to a three-year best. Lubin said in an interview late on Monday that while Ramaphosa was respected by international markets, moving fast on economic reforms was key to turning optimism into long term investment. "There’s been a very dramatic reassessment of SA’s fundamentals in the last...
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