Rand has plummeted losing 3% at one point after Finance Minister Pravin Gordhan summoned for fraud by the National Prosecuting Authority (NPA) to appear in court in November.
The allegations that there is an attempt to remove Finance Minister Pravin Gordhan from his office in order to get access to the office of the National Treasury make South Africa less investment friendly. This according to emerging markets economist at Nomura investment bank, Peter Attard Montalto.
Montalto says a possible downgrade is possible if Gordhan get removed from his office.
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