The Banking Association South Africa (BASA) has expressed deep concern about President Jacob Zuma’s recall of Finance Minister Pravin Gordhan from the international investor roadshow the Treasury is leading.
“These roadshows are meticulously planned and form an integral part of the post-Budget calendar. Roadshows such as this one provide an important opportunity for South Africa to update investors about recent policy developments and reassure them that our economy remains a good investment destination,” said BASA MD Cas Coovadia in a statement.
He said business, government and labour has made significant progress in the last 18 months in building confidence in South Africa among investors and rating agencies.
“This action by the Presidency rolls back the progress we have made as a country. It also militates against the imperative of ensuring political and policy certainty.”
The fact that President Jacob Zuma has instructed the Minister of Finance, Pravin Gordhan, together with the Deputy Minister of Finance, Mcebisi Jonas, to cancel their international investor roadshow and return to the country immediately is a major setback for the economy in South Africa.
The instruction to cancel the international investor roadshow without explanation is so bizarre that it appears, at best, calculated to humiliate the minister or, at worst, to suggest that the minister is about to be fired in a cabinet reshuffle.
“Whatever the case the instruction to cancel the international investor roadshow could not have come at a worse time as the minister battles to restore investor confidence among international investors in one of the financial capitals of the world,” said David Maynier from the Democratic Alliance.