Several senior ANC leaders have accused President Cyril Ramaphosa of collaborating with external forces to undermine the ruling party and pave the way for a center-right coalition led by him after the 2024 elections. According to these leaders, Ramaphosa and his business associates are actively working to privatize state-owned enterprises (SOEs) and dismantle black-owned companies supported by the Public Investment Corporation (PIC). This strategy, they claim, is designed to erode voter support for the ANC in favor of a coalition involving most opposition parties, excluding the EFF led by Julius Malema.
The controversy intensified following the government’s decision to place the financially troubled national carrier, SAA, under business rescue. Four members of the ANC’s National Executive Committee (NEC) reportedly confronted Ramaphosa recently over allegations that he was undermining black-owned businesses and leveraging the PIC for this purpose. However, ANC spokesperson Pule Mabe and treasurer-general Paul Mashatile declined to comment, while Ramaphosa’s spokesperson deferred inquiries to the ANC.
Political analyst Xolani Dube from the Xubera Institute acknowledged internal discontent within the ANC regarding Ramaphosa’s alleged collaboration with external actors to destabilize the party. He attributed this dissatisfaction to a perception that Ramaphosa’s presidency was influenced by powerful economic interests, such as mining and energy sectors, rather than adhering to the ANC’s traditional policies.
Critics within the ANC have outlined a detailed plan they believe Ramaphosa is executing to dismantle the ANC’s dominance, including fast-tracking long-term contracts for entities like Eskom and Transnet, selling state assets to selected private entities and exerting control over key development finance institutions. They also accuse Ramaphosa of sidelining black business leaders who historically supported the ANC financially, thereby weakening the party’s funding base.
The allegations have sparked heated debates within the ANC, with conflicting accounts emerging from its leadership. While some members support Ramaphosa’s policies as necessary for economic reform, others view them as betraying the party’s principles and its commitment to black economic empowerment.
In response to accusations, Ramaphosa has denied direct involvement in PIC affairs and defended his economic policies as essential for revitalizing South Africa’s economy. Meanwhile, the controversy continues to highlight deep divisions within the ANC as it prepares for the upcoming elections amidst growing opposition and internal dissent.
In other news – New currency scarcity in ZiG sparks opposition alarm
In a bold move aimed at stabilizing its tumultuous economy, Zimbabwe recently introduced the Zimbabwe Gold (ZiG) currency on April 5, 2024. This new currency, backed by 2.5 tonnes of gold and supported by $100 million in foreign currency reserves, was intended to restore confidence and combat hyperinflation that had ravaged the Zimbabwean dollar. However, the rollout of ZiG has not been without its challenges and criticisms, particularly from the opposition Labour Economists and Afrikan Democrats (LEAD).
LEAD, led by prominent figure Linda Masarira, has raised significant concerns regarding the accessibility and acceptance of ZiG among the general populace. Read More
