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Phumlani Majozi, Political Analyst joins CNBC Africa for more analysis as we head closer to the ANC&#8217;s December elective conference.

All eyes on ANC’s December elective conference

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The South African Communist Party says the axing of Blade Nzimande as Minister of Higher Education and Training‚ is factional and places the tripartite alliance on the &#8220;brink of disintegration&#8221;.

Zuma’s axes Blade: Is this the end of alliance?

Reuters and CNBC Africa
South African President Jacob Zuma has appointed minister of state security David Mahlobo as energy minister in a cabinet reshuffle, the presidency said on Tuesday.
Zuma changed six ministers, including home affairs, state security and communications. Blade Nzimande, a vocal critic of Zuma, was removed as minister of higher education and training.
The following changes have been:
<ol>
<li>Professor Hlengiwe Mkhize is the Minister of Higher Education and Training</li>
<li>Ms Ayanda Dlodlo is the Minister of Home Affairs</li>
<li>Ms Mmamaloko Kubayi is the Minister of Communications</li>
<li>Mr David Mahlobo is the Minister of Energy</li>
<li>Adv. Bongani Thomas Bongo is the Minister of State Security</li>
<li>Mr Buti Manamela is the Deputy Minister of Higher Education and Training</li>
</ol>
&nbsp;

South African President Jacob Zuma reshuffles cabinet

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President Robert Mugabe confirmed weekend rumours of a cabinet reshuffle by replacing Finance Minister Patrick Chinamasa with Home Affairs Minister Ignatius Chombo. This follows news last week of tensions between himself and his deputy.

Mugabe creates new cyber ministry in cabinet reshuffle

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Are we in for another cabinet reshuffle? Speculation of the shake-up is gathering momentum. It&#8217;s believed the move will pave the way for presidential hopeful Nkosazana Dlamini-Zuma. Phumlani Majozi Political Analyst joins CNBC Africa for more.

Cabinet reshuffle very likely – Analyst

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Earlier this week, Cote d’Ivoire’s president Alassane Outtara reshuffled his cabinet, replacing the former budget minister of the country, Abdourahmane Cisse, with Prime Minister Amadou Gon Coulibaly.

Impact of Cote d’Ivoire’s cabinet reshuffle on markets

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The South African Communist Party is taking legal action against President Zuma over his controversial cabinet reshuffle in March. The party&#8217;s second Deputy Secretary General Solly Mapaila said Zuma lied about his decision to fire, amongst others,.

SACP to contest future elections independently

The Public Affairs Research Institute has released a report into state capture.
The report called the “The Betrayal of the Promise: South Africa Is Being Stolen” looks at Finance Minister, Malusi Gigaba&#8217;s role in state capture and suggests that South Africa has experienced a silent coup, that has removed the African National Congress (ANC) from its place as the primary force for transformation in society.
According to the report, four public moments define this new era: the Marikana Massacre on 16 August 2012; the landing of the Gupta plane at Waterkloof Air Base in April 2013; the attempted bribing of former Deputy Minister of Finance Mcebisi Jonas to sell the National Treasury to the shadow state in late 2015; and the Cabinet reshuffle in March 2017. Resistance and capture is what South African politics is about today.
The report documents how the Zuma-centred power elite has built and consolidated this symbiotic relationship between the constitutional state and the shadow state in order to execute the silent coup.
<a href="http://pari.org.za/betrayal-promise-report/">Read the full report here</a>.

Inside the capture of Africa’s most advanced economy

ALGIERS (Reuters) &#8211; Algeria&#8217;s Energy Minister Noureddine Bouterfa, who has been active in pushing for an OPEC price cut deal, has been replaced in a cabinet reshuffle with former state gas agency chief Mustapha Guitouni, state radio said on Thursday.
The new finance minister is Abderahmane Raouia, the former tax agency director, the radio said.
(Reporting by Lamine Chikhi; writing by Patrick Markey)

Algerian Energy Minister Bouterfa replaced in cabinet reshuffle: state radio

Mfuneko Toyana | JOHANNESBURG
Fitch is very concerned that South Africa&#8217;s economic and political situation is not improving, the country&#8217;s second largest federation of trade unions said on Tuesday after it held talks with the ratings agency.
In April, Fitch cut South Africa&#8217;s debt to subinvestment, citing the recent cabinet reshuffle, when President Zuma fired his third finance minister in two years and which it feared would weaken standards of governance and public finances.
Firing Pravin Gordhan while he was abroad on an investor roadshow and the subsequent sovereign downgrade rattled local markets and investors worldwide.
The Federation of Unions of South Africa&#8217;s (FEDUSA) General Secretary Dennis George told Reuters that Fitch said it was also worried about the lack of progress in reforming state firms.
<blockquote>&#8220;They wanted to know how we see the future and what we see happening at the (ruling African National Congress) ANC elective conference in December,&#8221; said George, who was meant to be part of the contingent accompanying Gordhan overseas on the roadshow.</blockquote>
The ruling ANC elects its next leader, who will contest national polls in 2019. The cabinet purge that saw Gordhan removed is seen by analysts as part of a wider power-struggle between factions in the party jostling for top positions and control of state-owned entities (SOE).
&#8220;Fitch are very concerned about what is happening in the country and the fact that things are not getting better, they&#8217;re getting worse,&#8217; George said.
&#8220;They also agreed with us that we can&#8217;t keep bailing out the state-owned companies,&#8221; he said.
Government guarantees to state firms are set to increase to nearly 500 billion rand ($38 billion) in 2017, about a quarter of the total debt, according to the treasury, which says the firms represent a significant risk to already stretched finances.
When Fitch downgraded the rating, it said the reshuffle was likely to &#8220;undermine progress in SOE governance&#8221;, raising the risk that the firms&#8217; debt could migrate onto the government&#8217;s balance sheet.
Fitch was not immediately available for comment.
(Editing by Louise Ireland)
&nbsp;

Fitch “very concerned” situation in South Africa not improving: union

James Macharia | JOHANNESBURG
Lawyers for South African President Jacob Zuma on Wednesday requested legal permission for an appeal against a High Court order to give reasons for his decision to fire finance minister Pravin Gordhan in a cabinet reshuffle, eNCA television said.
Gordhan&#8217;s firing led to sovereign debt downgrades, large street protests and calls for Zuma&#8217;s resignation.The president has never given specific reasons for removing Gordhan and replacing him with Malusi Gigaba.
Zuma&#8217;s spokesman and lawyers were not immediately available to comment on the request for an appeal.
The opposition Democratic Alliance (DA), which requested the High Court order, also called for a no-confidence motion against Zuma in parliament saying his cabinet changes were harmful to the economy.
<blockquote>&#8220;The President is clearly hell-bent on keeping these reasons from the people of South Africa and is using every possible court process to do so,&#8221; James Selfe, a DA lawmaker and head of its executive, said.</blockquote>
On Friday, the ruling African National Congress accused the judiciary of pandering to the opposition in ordering Zuma to explain why he fired Gordhan, and urged Zuma to appeal against the High Court&#8217;s ruling.
(Reporting by James Macharia; Editing by Louise Ireland)

South Africa’s Zuma requests permission to appeal Gordhan order: eNCA TV

Wendell Roelf | CAPE TOWN
South Africa needs to provide policy clarity to boost investor confidence, after a cabinet reshuffle and a pledge to introduce &#8220;radical economic transformation&#8221;, Finance Minister Malusi Gigaba said on Tuesday.
Gigaba&#8217;s comments echo those of President Jacob Zuma about redistributing wealth, which remains largely in the hands of the white minority more than two decades after apartheid ended, raising uncertainty about South Africa&#8217;s policy direction.
&#8220;We know that we need to continue acting conscientiously to do what we have to do, including providing policy clarity on a number of areas &#8230; to boost business and investor confidence,&#8221; Gigaba told parliament&#8217;s finance committee.
Both S&amp;P Global Ratings and Fitch downgraded South Africa&#8217;s credit rating to below investment grade last month, citing likely changes in economic policy after Finance Minister Pravin Gordhan was fired, shaking investor confidence.
Lower ratings typically make it more expensive to borrow, particularly when they fall below investment grade, and risk deterring the foreign investors on whom South Africa relies to finance its big budget and balance of payments deficits.
&#8220;The debates around radical economic transformation are ongoing,&#8221; Gigaba told the finance committee. &#8220;How do you get the majority of South Africans &#8230; to participate in the economy, to own some assets, to become self-sustaining?&#8221;
He said the ruling African National Congress, which steers government policy, had not yet defined what the transformation entailed.
(Reporting by Wendell Roelf; Editing by James Macharia, Larry King)
&nbsp;

South Africa needs to clarify policy to boost confidence, Gigaba says

South Africa&#8217;s High Court on Thursday ordered President Jacob Zuma to provide reasons for his decision last month to fire finance minister Pravin Gordhan in a cabinet reshuffle that led to sovereign debt downgrades, eNCA television said.
The opposition Democratic Alliance (DA) had filed the court application to compel Zuma to give his reasons for the reshuffle, which triggered large street protests against the president and led to more calls for his resignation.
The DA has also called for a no-confidence motion against Zuma in parliament.
&#8220;We got the order that we wanted with some very minor adaptations and it allows us now to go ahead with the main review application into the rationality of dropping Mr Gordhan from the cabinet,&#8221; James Selfe, DA lawmaker and head of its executive, said.
The opposition and even some members within Zuma&#8217;s cabinet, including Deputy President Cyril Ramaphosa, said at the time that Zuma removed Gordhan on the basis of a &#8220;spurious&#8221; intelligence report.
That report accused the former finance minister and his deputy Mcebisi Jonas of plotting with banks in London to undermine the South African economy. Jonas was also fired by Zuma.
&#8220;We expect that document to be part of the record,&#8221; said Selfe, referring to the intelligence report.
Ramaphosa usually publicly backs Zuma and his criticism of Gordhan&#8217;s sacking was a sign of deepening divisions in the ruling African National Congress that are likely to worsen until the party elects a new leader in December.
It was not immediately clear if Zuma would appeal Thursday&#8217;s ruling.
In a bid to reassure markets, Zuma has said that he expected the addition of several younger ministers would add energy to his cabinet.
He has so far not given any specific reasons for removing Gordhan and replacing him with new Finance Minister Malusi Gigaba.
(Reporting by Tanisha Heiberg; Writing by James Macharia)

S.A court orders Zuma to provide reasons for firing Gordhan

South Africa&#8217;s Financial Services Board (FSB) is probing certain trades made in the hours before former Finance Minister Pravin Gordhan was recalled from an investor roadshow and then dismissed, an official said on Tuesday.
The Johannesburg bourse said in April it was probing the trades involving currency futures and would forward its findings to the FSB once they were finalised.
On March 27, news broke that President Jacob Zuma had ordered Gordhan to return immediately from a trip to Britain and the United States, roiling local markets. Gordhan was later dismissed in a cabinet reshuffle.
&#8220;The investigation is on-going,&#8221; Solly Keetse, head of Market Abuse at the FSB, told Reuters, adding that the FSB would make its findings known in due course.
The rand weakened about 2.5 percent ahead of the news, according to Thomson Reuters data, falling further after the recall was confirmed, while the Banks index on the bourse fell 4.73 percent.
(Reporting by Nqobile Dludla; Editing by Ed Stoddard and Tom Heneghan)

S.A’s Financial Services Board probes trades around Gordhan recall

When the <a href="http://ewn.co.za/2017/03/31/president-jacob-zuma-s-cabinet-reshuffle">axe</a> finally fell on the embattled South Africa’s finance minister, Pravin Gordhan, and his deputy, Mcebisi Jonas, the reactions played out as many people had predicted. The country was hit by an immediate drop in the value of the <a href="http://www.fin24.com/Economy/cabinet-reshuffle-downgrade-knock-rands-emerging-markets-crown-20170406">rand</a> and a sovereign credit rating downgrade from rating agencies<a href="http://www.ujuh.co.za/sp-official-statement-downgrading-south-africas-credit-rating/">S&amp;P </a> and <a href="http://www.ujuh.co.za/and-now-fitch-downgrades-south-africa-to-real-junk-status/">Fitch</a>. Widespread <a href="http://www.timeslive.co.za/sundaytimes/stnews/2017/04/07/IN-PICTURES-South-Africans-come-out-in-droves-to-join-anti-Zuma-countrywide-marches">protest</a> against President Jacob Zuma has since followed.
The ensuing protests and debates are dominated by a focus on the role of individuals: Zuma is the centre of focus as the wrecking ball; Gordhan and to some extent Jonas, were seen as the saviours. The view is that all hell will break loose once these good men are gone.
Given the current state of the economy and the sensitivities of the markets, it is inevitable that South Africans are likely to fixate on the financial outcomes of Zuma’s moves. But focusing too heavily on individuals’ actions and the outcomes from them is dangerous.
This is not because the role of these individuals and the outcomes are unimportant. But it must be the systems and processes that should matter more for an approach that goes beyond the 24-hour news cycle and into rebuilding a better future. The underlying systems of government and party politics that generate and support leaders need to change if the country is not to repeat the recent calamities.
While people may be justified to protest, shout and tweet slogans like “Zuma Must Fall”, it’s a mistake to assume that change in one leadership position will bring about a shift in underlying systems. Likewise, the positioning of Gordhan (and to a lesser extent Jonas) as the saviours speaks to this same problem. Both perspectives are based on an extremely limited conception of how institutions and societies work, hearkening back to the outdated, and ironically colonial, “<a href="https://www.villanovau.com/resources/leadership/great-man-theory/#.WO813aIlHDc">Great Man Theory</a>”.
<h2>It’s the systems that matter</h2>
The Great Man Theory says that leaders are born with a special gift and their unique skills make them indispensable. Worthy successors are thought to be few and far between. Great things can only happen with these chosen people at the helm of institutions or societies.
The prevalence of this view in South Africa is deeply worrying. It shows a shockingly unrealistic understanding of the scope of issues facing the country. It also shifts people’s focus to leaders in certain positions as opposed to systems and institutions.
Good leaders can obviously make a difference, but environments can also exert a profound impact on leaders. Take the American experience: the running joke in the US is that President Donald Trump said he was going to “<a href="http://www.newsweek.com/2017/02/17/donald-trump-drain-swamp-lobbyists-553809.html">drain the swamp</a>” (change the political system), but his recent failings in many initiatives show that “the swamp is draining him”.
It’s certainly possible that a change in leadership at the top may lead to better outcomes and shift the direction of a country. But keeping all of the underlying systems and processes intact will likely guarantee that the future will remain the same.
<h2>Some indicators of underlying change</h2>
To get a better sense of the true impacts of the Zuma <a href="http://www.ujuh.co.za/zumas-cabinet-reshuffle-points-to-the-rise-of-malusi-gigaba/">cabinet reshuffle</a>, South Africans need to assess how it relates to crucial systems, rather than just immediately quantifiable outcomes. For those who are fearing or hoping this most recent political move is a watershed event, the proof of their case will not come in shorter-term outputs, but in real changes to underlying systems, which speak to the strength – or weakness – of institutions.
There have been reports that other cabinet members would <a href="https://businesstech.co.za/news/government/160435/anti-zuma-ministers-threaten-mass-resignation-following-possible-cabinet-reshuffle-report/">resign in protest</a> after Gordhan was removed. Significant resignations by internal senior leaders will be indicative that the current processes for leadership selection and support are no longer holding. If that fails to happen in a meaningful way, it will be a strong indication that the underlying system will not be shaken.
Short of resignation, who will speak out from inside the ANC. There are indications of internal factions in the ANC, exacerbated by the organisation’s 2017 ANC <a href="http://ewn.co.za/2017/01/08/the-debate-over-who-should-succeed-zuma-as-anc-president-heating-up">elective conference</a>. Opening the leadership debates around ANC’s contestations for power will be beneficial. Made public, the rationale and underpinning logic for differences of opinion give insight to both ANC members and the public as to what the real issues are facing the party, its leaders, and the country. If these factional territories are kept hidden rather than staked out in public, it will be a strong indication that the underlying system will not be shaken.
Much of the ANC’s leadership selection and succession processes are highly opaque, making it hard for the public to see just how leaders arrive at their positions. This doesn’t mean there’s anything wrong with that person or those processes, but the lack of transparency allows for every shortcoming to be magnified with suspicions of shady dealings in the background. If the process for the elevation of leaders in the ANC is not made more transparent, it will be a strong indication that the underlying system will not be shaken.
<h2>The bottom line</h2>
The loss of Gordhan and Jonas is no doubt <a href="https://theconversation.com/firing-of-south-africas-finance-minister-puts-the-public-purse-in-zumas-hands-75525">a blow</a> to the National Treasury. Good leadership is always a benefit to institutions. South Africa, like any country, should try to make the most of any good leadership it can find. But this should not blind South Africans to the fact that the finance ministry, and the economy as a whole, can never be wholly dependent on one or two people.
If the country wants real “<a href="http://www.ujuh.co.za/zuma-what-do-we-mean-by-radical-socio-economic-transformation/">radical economic transformation</a>”, it can only come from institutions that are strong throughout and buoyed by the work of many people dedicated to the task of improving the country.
Gordhan himself appears to understand this. Commenting after his dismissal, he said Treasury is in <a href="http://m.ewn.co.za/2017/03/31/gordhan-treasury-is-being-left-in-good-hands">safe hands</a> because its professionals remain committed to ensuring macro-economic stability.
The bottom line is that if South African politics is its own “swamp”, it would be foolish to think that skimming the top (whether that’s in the form of Zuma or cabinet ministers) will be sufficient on its own to improve the situation and keep the country safe from future harm. Anyone who has been in a swamp knows that the most dangerous things lie below the surface, ready to emerge at the right moment for an attack.

South Africa must look beyond individuals to solve the current crisis

JOHANNESBURG (Reuters) &#8211; South African Deputy President Cyril Ramaphosa has said that leaders should listen to <a href="http://cnbc.africa/videos/2017/04/10/thousands-march-in-s-a-calling-for-zuma-to-step-down/">protesters who have taken to the streets demanding that President Jacob Zuma resign </a>or be removed after a cabinet reshuffle triggered damaging credit downgrades. 
Zuma is to step down as head of the ruling African National Congress (ANC) in December but his second term as president only expires after a general election in 2019. Ramaphosa and Zuma&#8217;s ex-wife Nkosazana Dlamini-Zuma are the leading candidates vying to replace him. 
Zuma is widely believed to support his ex-wife&#8217;s candidacy, while Ramaphosa, a wealthy businessman and former trade unionist, has the backing of the ANC&#8217;s labour allies. 
&#8220;People of our country are taking to the streets. They&#8217;re raising their concerns, and I think what we should be doing as leaders is to listen to some of the concerns that are being raised,&#8221; Ramaphosa told the eNCA news network on Sunday after attending an Easter church service in northern Limpopo province. 
Ramaphosa&#8217;s remarks are a marked contrast to Zuma&#8217;s. He has accused the marchers of having racist motives. The protests have had mixed racial profiles, and drew tens of thousands to Pretoria on Wednesday and nationwide on April 7. 
Zuma, who turned 75 on Wednesday, has survived previous protests. But the main opposition party Democratic Alliance (DA) and other parties believe they can drum up support to force Zuma from office following his dismissal of respected Finance Minister Pravin Gordhan in a cabinet reshuffle. 
<a href="http://cnbc.africa/trending/sa-downgrade/2017/04/07/fitch-downgrades-sa/">Fitch and S&amp;P Global Ratings have downgraded South Africa&#8217;s debt to &#8220;junk&#8221;</a>, citing Gordhan&#8217;s dismissal as one reason. 
South Africa&#8217;s top court is considering whether a parliamentary motion of no confidence against Zuma should be taken by secret ballot. Opposition parties have said the motion would be more likely to succeed if held by secret ballot. 
(Reporting by Ed Stoddard; Editing by Alison Williams)

South Africa’s VP, Ramaphosa says leaders must listen to protesters

South Africa&#8217;s new finance minister pledged on Thursday to do what he can to keep the country from a third credit downgrade to junk status, saying he would meet ratings firm Moody&#8217;s to persuade it he will stay on the path of fiscal discipline.
Malusi Gigaba, who replaced the respected Pravin Gordhan in a cabinet reshuffle that triggered credit downgrades to sub-investment by S&#038;P Global Ratings and Fitch, told local investors he would clarify the Treasury&#8217;s policy positions to Moody&#8217;s during an upcoming roadshow overseas.
&#8220;We will do all we can to avoid another downgrade and one of the ways to do that is to engage with Moody’s directly, to demonstrate our willingness to stay the course in terms of fiscal discipline and fiscal consolidation,&#8221; Gigaba told reporters after meeting investors in parliament.
But he added: &#8220;There is no silver bullet in this regard. Nothing is taken for granted and nothing is taken as a guarantee.&#8221;
Gigaba later told the national broadcaster he would tell investors attending an International Monetary Fund meeting in the United States next week that the economy was showing signs of recovery and the government would not spend money it did not have &#8220;whatever the social pressures may be&#8221;.
The cabinet reshuffle by President Jacob Zuma, who is mid-way through his second five-year term ending in 2019, has roiled domestic financial markets and battered the rand.
The opposition has called on Zuma to resign and held protests to force him out of office.
Gigaba, formerly minister of home affairs, said he had briefed Zuma on the implications of the downgrades which could hit the poor hard, as higher debt costs could lead to less money for services such as sanitation and housing. 
Inflation was also likely to rise and consumer spending decrease as essentials such as transport and food cost more, analysts said.
Gigaba said state firms such as power utility Eskom, national airline SAA, have relied on costly government bailouts.
&#8220;In our engagement with the president, we indicated that commitment to stick to the budget as presented in the national assembly in February and to ensure that we pay attention to the governance of state-owned companies,&#8221; said Gigaba.
&#8220;It is a difficult space for everybody given the fiscal constraints, the slow growth in the economy, even though our economy is expected to grow more than it has done last, but its still very slow growth not creating sufficient volumes of jobs required.&#8221;
Gigaba said a new director general for the Treasury would be appointed in May, to replace Lungisa Fuzile who resigned after the cabinet reshuffle.
(Editing by James Macharia/Jeremy Gaunt)

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