South Africa’s challenges may overwhelm new cabinet

Significance

The need for extensive negotiations within the party and with its alliance partners, Ramaphosa’s risk averse character and a shallow talent pool meant the reshuffle got stretched out for over three months.

Impacts

• The slow reshuffle may have influenced Standard and Poor’s recent unexpected downgrade of South Africa’s outlook to stable from positive.
• A fourth quarter GDP contraction of 1.3% underlines the seriousness of the crises that the reshuffle is supposed to address.
• A new strike by the National Education, Health and Allied Workers’ Union will present an immediate challenge for the new cabinet.