BusinessPostCorner.com
No Result
View All Result
Thursday, June 19, 2025
  • Home
  • Business
  • Finance
  • Accounting
  • Tax
  • Management
  • Marketing
  • Crypto News
  • Human Resources
BusinessPostCorner.com
  • Home
  • Business
  • Finance
  • Accounting
  • Tax
  • Management
  • Marketing
  • Crypto News
  • Human Resources
No Result
View All Result
BusinessPostCorner.com
No Result
View All Result

ANC nears South Africa power-sharing deal with opposition party

June 13, 2024
in Finance
Reading Time: 4 mins read
A A
0
ANC nears South Africa power-sharing deal with opposition party
ShareShareShareShareShare

Unlock the Editor’s Digest for free

Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.

South Africa’s ruling African National Congress and the opposition Democratic Alliance are nearing a deal on a power-sharing agreement that would allow parliament to re-elect Cyril Ramaphosa as president. 

The rand strengthened on Thursday as talks progressed. Conclusion of a deal could see Ramaphosa sworn in for his second full term by lawmakers on Friday.

Under the pact, which still needs to be approved by the ANC’s union affiliates and National Executive Committee, its main decision-making body, the pro-market DA could secure several cabinet positions in a coalition that would also involve the Zulu-dominated Inkatha Freedom party (IFP). 

“It is very close, but nothing has been signed yet,” said one person close to the negotiations. “Nearly all the hurdles have been cleared.”

On Wednesday, IFP leader Velenkosini Hlabisa said his party would join an ANC-DA coalition. Inkatha’s involvement would help it appeal to Zulu voters who deserted the ANC for former president Jacob Zuma’s uMkhonto weSizwe (MK) party. 

While Ramaphosa has dubbed the potential arrangement as a “government of national unity” to help convince ANC leftwingers resistant to a deal with the DA, neither MK nor the radical Economic Freedom Fighters, led by Julius Malema, appear likely to be part of any coalition.

“The rand has been rallying now on the assumption that the EFF are pulling out,” said Jason Swartz, a fund manager at financial services company Old Mutual Investment Group. “Talk of a DA involvement in the government has led to a pop in the currency.” 

The currency, which fell as low as R18.92 against the dollar when the prospect of a coalition with the EFF and MK Party seemed possible, on Thursday rose 0.2 per cent to about R18.40. 

Frans Cronje, a political analyst, said the DA had ended up pushing for a full-blown coalition as the price of its support for Ramaphosa, whose party scored a historic low of 40 per cent in last month’s election.

Cronje said a peaceful transition to a coalition would be a significant achievement for South Africa’s democracy, avoiding both a market-upending shift leftward or the violence threatened by Zuma, who disputes the election result.

“Look where we are and where we aren’t,” Cronje said. “We aren’t at a radical populist collapse and we don’t have shooting in the streets.” 

Parliament will convene on Friday to elect a new president, speaker and MPs in the absence of an ANC majority for the first time in 30 years.

The ANC’s national executive is due to meet later on Thursday to approve the plan. On Wednesday, the party met its alliance partners, labour federation Cosatu and the South African Communist party (SACP), to present its proposals. 

While SACP secretary-general Solly Mapaila has previously spoken of “rejecting” a coalition with either the DA and MK, Cosatu appeared more open to a deal.

“The DA will always be a tough sell,” Cosatu’s spokesperson Matthew Parks told the FT, referring to the liberal economic agenda of the DA, which is led by John Steenhuisen and has traditionally been the party of white and other minority voters. But he said Cosatu understood “the ANC’s logic, given the challenges we’re facing as a country and [given] that it didn’t win a majority”. 

Recommended

Cosatu has insisted on respect for South Africa’s labour laws, including the minimum wage. People close to the DA said it was prepared to drop its opposition to the salary rule. 

“The DA is very rapidly shifting into a realistic centre ground,” said Cronje.

The Constitutional Court late on Wednesday rejected an application from Zuma’s MK, which won 14.5 per cent of the vote, to interdict parliament’s first meeting, a move that would help scupper approval of a coalition pact. 

In court papers, MK secretary-general Sihle Ngubane said it had “a large and growing body of evidence” to back up its claims of vote rigging, an allegation most neutral observers regard as baseless. 

The party is nonetheless expected to boycott lawmakers’ first sitting on Friday, in a last-ditch effort to prevent parliament proceeding on the grounds that it would not be “properly constituted” — an argument which analysts said was based on an incorrect interpretation of the law.

Credit: Source link

ShareTweetSendPinShare
Previous Post

How to Write a Letter of Recommendation [+ Free Template]

Next Post

Apple isn’t paying OpenAI to use ChatGPT

Next Post
Apple isn’t paying OpenAI to use ChatGPT

Apple isn’t paying OpenAI to use ChatGPT

Payroll clarity is an HR must. Plus, news from ADP, Gartner, more

Payroll clarity is an HR must. Plus, news from ADP, Gartner, more

June 18, 2025
Amazon boss says AI will replace jobs at tech giant

Amazon boss says AI will replace jobs at tech giant

June 17, 2025
Trump Card investor visa attracts almost 70,000 sign-ups

Trump Card investor visa attracts almost 70,000 sign-ups

June 17, 2025
Oil prices surge after Israel’s attack on Iran

Oil prices surge after Israel’s attack on Iran

June 13, 2025
Police manhunt continues for suspect in killing of Minnesota lawmaker and husband

Police manhunt continues for suspect in killing of Minnesota lawmaker and husband

June 15, 2025
Best practices for streamlining document security and workflow in accounting

Best practices for streamlining document security and workflow in accounting

June 16, 2025
BusinessPostCorner.com

BusinessPostCorner.com is an online news portal that aims to share the latest news about following topics: Accounting, Tax, Business, Finance, Crypto, Management, Human resources and Marketing. Feel free to get in touch with us!

Recent News

Nvidia and the AI boom helps Malaysia’s Nationgate debut on the Southeast Asia 500 with a 720% revenue surge

Nvidia and the AI boom helps Malaysia’s Nationgate debut on the Southeast Asia 500 with a 720% revenue surge

June 19, 2025
Los Angeles Lakers owner nearing sale to Guggenheim Partners boss

Los Angeles Lakers owner nearing sale to Guggenheim Partners boss

June 18, 2025

Our Newsletter!

Loading
  • Contact Us
  • Privacy Policy
  • Terms of Use
  • DMCA

© 2023 businesspostcorner.com - All Rights Reserved!

No Result
View All Result
  • Home
  • Business
  • Finance
  • Accounting
  • Tax
  • Management
  • Marketing
  • Crypto News
  • Human Resources

© 2023 businesspostcorner.com - All Rights Reserved!