There’s no question that markets got way ahead of themselves in anticipation of a Cyril Ramaphosa victory in the ANC elections, driving up the rand to euphoric highs. The currency pulled back to an extent once it became clear that Ramaphosa’s success in winning the ANC presidency was a compromised one, with a divided and potentially poisonous top six party leaders. Disputes over the count ought to make investors sit up and take notice, but for now, the wave of optimism persists.
That is despite a sobering note from ratings agency Moody’s on Monday, which came as a reminder (in case anyone had forgotten) that SA was still on watch for a downgrade. It is the last of the ratings agencies that has us on investment grade and it had been holding out to see which way the ANC conference went. Its verdict is less than fulsome. Ramaphosa’s victory "opens up the tentative prospect of a shift in policy and a rise in business confidence that could reverse the gradual deterioration in SA’s ...
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.