Former Eskom CEO Brian Molefe’s recent tribulations are an indication that certain factions within the ANC – those who oppose state capture – seem to be winning.
It is probably no consolation to Brian Molefe, former CEO of South Africa’s power utility Eskom, that his woes are evidence that President Jacob Zuma’s March Cabinet reshuffle has so far had precisely the opposite effect to that which was expected. Nor, no doubt, would it cheer Molefe to know that his plight has become a symbol of an important reality: that who occupies which political post is turning out to be far less important to the government’s economic decision-making than it seemed.
Molefe’s woes are evidence that the country’s infamous Cabinet reshuffle has so far had precisely the opposite effect to that which was generally expected.
Before the reshuffle, many expected that, if Zuma did fire the finance minister and his deputy, the balance of power in government would shift sharply. Walls which held the state’s capture at bay would come tumbling down.
But this has not happened. The ANC patronage faction may have strengthened its presence in the Cabinet. But its attempt to take control of key institutions is in retreat in the face of opposition within the governing party and from unions, business and civil society groups.
Thus far the patronage group’s opponents have also turned the tide by winning changes which reversed its gains. This does not mean that the patronage faction’s opponents have won: the battle will continue to be fought decision by decision, day to day, possibly until the 2019 election. But the patronage group’s expected triumph has not materialised despite changes in the faces in government.
Molefe’s pyrrhic victory
هذه القصة مأخوذة من طبعة 22 June 2017 من Finweek English.
ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.
بالفعل مشترك ? تسجيل الدخول
هذه القصة مأخوذة من طبعة 22 June 2017 من Finweek English.
ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.
بالفعل مشترك? تسجيل الدخول
THE HEALTH OF SA'S MEDICAL SCHEMES
As the Covid-19 pandemic abates, finweek takes a look at the financial performance of some of the largest players.
The effect of Gilbertson's departure
With Ntsimbintle Holdings now the major shareholder of Jupiter Mines, it could change SA’s manganese industry.
Making money from music
Why investors are increasingly drawn to the music industry.
Conviction is key
Sandy Rheeder plays a critical role in Mukuru’s mission to open up financial services to the emerging consumer market in Africa through tailor-made technology solutions and platforms.
The post-pandemic toolkit
How CFOs can use technology to support growth.
Big city living exodus
Mini cities like Waterfall City and Steyn City are redefining city-style apartment living.
Big compact, big value
Handsome, with a hefty level of standard specification, the roomy Haval Jolion compact crossover is a great value proposition.
On barriers to entry
There are various ways in which a company or sector can achieve competitive dominance. They usually make for good investments.
Fear and greed in one index
To buck the trend, when markets are hot or cold, is a tough thing to do. However, it can deliver solid returns.
Africa's largest data centre facility coming soon
Vantage Data Centers plans to invest over R15bn for its first African data centre facility in Attacq’s Waterfall City.