CAPE TOWN – The rand surged to new strengths on Monday evening, as the ANC announced
Cyril Ramaphosa as the party’s new president.
Ahead of the official announcement, the rand strengthened to R12.61 to the dollar amid hopes that Ramaphosa would be declared the winner and the new president of the ANC.
Following the announcement that Ramaphosa had beaten out Nkosazana Dlamini-Zuma as the new leader, the rand rallied further to R12.57 against the dollar.
Ramaphosa is widely seen as a market-friendly leader, who has placed emphasis on rebuilding the economy, fighting unemployment and restoring damaged relationships with business.
Dlamini-Zuma, meanwhile, was more vague in her approach, but was seen as market-unfriendly due to her support of populist policies like ‘radical economic transformation’, and echoing the PR drive of ‘white monopoly capital.