Rand rally broken amidst Molefe rumours

The Rand’s rally has been broken by the news that former Eskom Chief Executive Officer (CEO) Brian Molefe will be sworn in as a Member of Parliament (MP) next week.

Molefe, who resigned from Eskom after a Public Protector implicated him in possible state capture, is reportedly being groomed to take over the finance portfolio.

Rand Merchant Bank says the rand is also softer in anticipation of the budget speech on Wednesday. The rand is trading at around R13.13 to the US dollar after comfortably breaking through the R12 barrier last week.

Meanwhile, North West ANC secretary, Dakota Legoete, has refuted allegations that Brian Molefe’s nomination as a Member of Parliament from the province has been done under-handedly.

This comes after opposition parties slammed the nomination of the former Eskom CEO.

Speaking on Morning Live, Legoete said Abram Mudau resigned on his accord.

Asked whether Molefe would replace Finance Minister Pravin Gordhan, Legoete said that the decision was President Jacob Zuma’s prerogative.

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Reports allege that the ANC instructed North West MP, Abram Mudau, to vacate his seat to make way for Molefe.

“He was not forced to resign he actually approached the leadership of the province, related to his challenges of ill health.

He wrote a voluntary resignation letter to us and we started the process of replacing him. For this matter to have escalated to a crisis point that it is now, is just unfair.

Brian Molefe, we think that he can make positive contribution to the national assembly.

The issue of him being a minister is not our prerogative I have limitations thereof because the relevant person is the president of the republic and so as far as that matter is concerned I can’t comment.”

Source: SABC

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