The Rand immediately improved after the reappointment of Pravin Gordhan as Finance Minister on Sunday night after a week of market turmoil followed a shock move by President Jacob Zuma to axe Nhlanhla Nene from the position last week.
Zuma reshuffled his cabinet a second time in five days on Sunday, reappointing Gordhan after reconsidering his decision to replace Nene with ANC back bencher David van Rooyen on Wednesday.
Zuma’s dramatic turnaround occurred after the rand tumbled to historic lows and bond yields jumped the highest it’s been in seven years, following his decision to axe Nene.
Analysts and politicians believe the President was caught off guard by the market reaction, as well as intense reaction from South Africans from all sectors, including from within his own party.
There was even a #zumamustfall campaign, as well as planned marches and a petition to remove the president from power.
Zuma said in a statement late on Sunday that as a democratic government, they emphasise the importance of listening to the people and responding to their views.
The president said he had received many representations to reconsider his decision.
