Economics
Under-Fire Gordhan’s Trial of Strength Over S. Africa Budget
- Fraud charges raise risk of finance minister losing post
- Gordhan is no ‘wizard’ to conjure economic growth: Ashbourne
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With his job on the line, fraud charges hanging over his head and university students rioting for free education, South African Finance Minister Pravin Gordhan’s resolve to maintain fiscal discipline and avoid a junk credit rating is facing a severe test.
Gordhan, due to present his mid-term budget in Cape Town on Wednesday, says he will deliver on his promise in February to rein in spending and the deficit, even though the economy is growing slower than previously forecast. His feuding with President Jacob Zuma, 74, and charges by prosecutors that he illegally approved the retirement of a former colleague, have raised doubts about whether he can meet that pledge.