One famous for being an internet sensation after falling of a chair during a live TV broadcast, Mhlanhla Nene has now fallen out of Zuma’s cabinet as well – knocking the poor rand for a six against other currencies. Currently the rand is hovering at 22 to Sterling.
Meanwhile trade union Solidarity sharply criticised President Zuma’s sudden decision to appoint David van Rooyen as new Minister of Finance. The trade union says it is “of the opinion that Van Rooyen’s appointment is a reckless decision given his personal background and the current economic crisis in the country.”
According to Solidarity Deputy General Secretary Johan Kruger, the markets have already reacted harshly to Van Rooyen’s appointment as the rand fell to a further record low soon after his appointment. “Van Rooyen by no means has the necessary experience and political and economic insight to solve the country’s financial and economic crises. On the contrary, his appointment stands to cost South Africa dear,” Kruger said.
Kruger also pointed out that Van Rooyen’s long history of involvement with the ANC and the party’s military wing, Umkhonto we Sizwe, is an indication that his appointment is mainly politically motivated.
In addition, a dark cloud is hanging over Van Rooyen’s involvement in municipal management. He was, among other things, mayor of the struggling Merafong Municipality in Gauteng for a number of years. “In 2009, for example, the Merafong Municipality headed by Van Rooyen could not be awarded a Blue Drop score as the water information was unavailable,” Kruger said.
Moreover, the Merafong Municipality received the worst rating in the Solidarity Research Institute (SRI’s) 2013 liveability monitor that focused on Gauteng. In addition, under his management Merafong received several successive qualified audit opinions which included findings of non-compliance with regulations and legislation.
