Rand regains strength as support for the finance minister mounts
Meanwhile, the M3 money supply figures suggest domestic spending remains weak, but some recovery is expected in coming months, Nedbank analysts say
The rand was firmer against the dollar on Thursday afternoon while talks about the removal of Finance Minister Pravin Gordhan and his deputy, Mcebisi Jonas, continued. At a midday media briefing, the SACP confirmed that it was consulted by President Jacob Zuma about a reshuffling of the Cabinet that would result in Gordhan and Jonas being removed from their positions; a matter the party objected to. Rand Merchant Bank analyst John Cairns said before the briefing that it was becoming clear that President Jacob Zuma wanted to fire Gordhan but faced resistance from within the ANC and alliance partners as well as from civil society. "For now, it is wait and see as the President ponders his decision under immense pressure from all sides". The Reserve Bank said that M3 money supply — the measure of how much money was circulating in the economy — slowed to 6.63% year on year from 7.91% in January, while private-sector credit extension eased to 5.3% year-on-year, slightly higher than the co...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.