According to money managers including Credit Agricole CIB and JPMorgan Chase & Co, the reformist agenda of Ramaphosa may help accelerate economic recovery, avoid a credit-rating downgrade and strengthen the currency, report Selcuk Gokoluk and Dana El Baltaji for Bloomberg.
Nevertheless, the revamped party will have a lot of work ahead of itself as the country has been under duress in recent years.
“It’s now about liberalizing again, cutting red tape, improving governance,” Burkhard Varnholt, deputy chief investment officer of Credit Suisse Group AG, told Bloomberg. “There is too much corruption and all of that needs to be cut, and then South Africa can become the darling of Africa investors again as it once was. The crucial element in that equation should be the rand, which has suffered greatly and should encourage investors to move money back into the economy.”
For more information on the South African markets, visit our South Africa category.