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Forex - South African rand down more than 2% as fin-min faces axe

Published 03/28/2017, 07:49 AM
© Reuters.  South African rand down more than 2% as fin-min faces axe
USD/ZAR
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Investing.com - The South African rand fell more than 2% against the dollar on Tuesday, adding to losses from the previous session amid rumors that the country’s finance minister could be replaced in a cabinet reshuffle.

USD/ZAR hit highs of 13.10 and was last at 12.99, up 1.98% for the day after jumping 2.5% on Monday.

The selloff in the rand came after Finance Minister Pravin Gordhan was dramatically called back to South Africa, from a trip to meet investors in the UK and America.

The news sparked speculation that Prime Minister Jacob Zuma was planning a cabinet reshuffle.

The pair have clashed in recent months; with Gordhan under pressure from Zuma to increase government spending and borrowing that he says will help tackle racial inequality and widespread poverty.

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