Cashing in on the "Ramaphosa effect"
According to Citi's David Lubin, South Africa has until the 2019 elections to cash in on the current global windfall.
David Lubin, Citi’s head of emerging markets, says that while Ramaphosa is respected by international markets, moving fast on economic reforms is crucial if South African wants to turn optimism into long-term investment.
The newly elected president of South Africa needs to show international investors that his government can implement reforms that will take advantage of the current economic climate and the stronger rand, Lubin says.
Lubin said this week at a press briefing:
“There’s been a very dramatic reassessment of South Africa’s fundamentals in the last three weeks… Conditions to go into the international (bond) market are absolutely better than they were a year ago. South Africa is a member of an asset class that’s in very good shape, because growth in the Chinese economy is robust and the dollar is weakening.”
Pictured: Cyril Ramaphosa