The Rand gains strength on Zuma’s weakness

Following the cancellation of public engagements by ANC officials due to speculations on Zuma’s exit on Friday, the rand strengthened against the dollar, pounds and Euro.

The Rand was  R12.1116 to the dollar from R12.1675‚  R14.8534 to the euro from R14.9083‚ and R16.895 to the pound from R16.9356.

Since the Deputy President of South Africa, Cyril Ramaphosa was elected leader of the ANC, South African assets have continued to see a great improvement.

Globally, the Rand has also been among the best performing currencies by gaining 20% after Ramaphosa was elected. This has set him on the path to take over from the incumbent Zuma whose administration has been affected by lots corruption allegations and economic issues. 

“South Africa offers one of the best stories in emerging markets in 2018: political change, economic recovery, attractive valuation and favorable technical,” Morgan Stanley analysts told Bloomberg.

Faiez Jacobs, the party’s provincial secretary, also told eNCA television that Ramaphosa has been lobbying for Zuma to resign and has said he hopes to conclude talks with him over a transition of power in the coming days in the interests of the country.