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South Africa Opposition Makes Debut in Ramaphosa’s Unity Cabinet

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(Bloomberg) — South African President Cyril Ramaphosa announced his new cabinet, allocating ministerial posts to opposition politicians while retaining close ally Enoch Godongwana as finance minister.

The announcement of the new executive followed more than a week of negotiations that ensued when the African National Congress invited its rivals to join a so-called government of national unity after losing its parliamentary majority in May 29 elections. Nine parties accepted the offer and agreed to back Ramaphosa’s reappointment as president in exchange for being allocated other posts. 

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The new administration is under pressure to tackle state ineptitude, power shortages and logistics snarlups that have curtailed economic growth and investment, and fueled already sky-high unemployment. 

The rand has gained and the benchmark equity index in Johannesburg jumped on expectations that the inclusion of business-friendly parties in the government will add impetus to reforms Ramaphosa has already initiated to kickstart economic growth.

“The establishment of the government of national unity in its current form is unprecedented in the history of our democracy,” Ramaphosa said in a televised address on Sunday. “The incoming government will prioritize inclusive and sustainable economic growth and the creation of a more just society by tackling poverty and inequality, as well as unemployment.”

John Steenhuisen, the leader of the Democratic Alliance which polled the second-most votes in the election, was named minister of agriculture.

Velenkosini Hlabisa, the leader of the Inkatha Freedom Party that finished fifth in the elections, was appointed cooperative governance minister. 

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Ramaphosa has had to walk a tightrope balancing demands from within his own party, its labor union and communist allies to retain control of key portfolios, and those of the new participants in the government who insisted that they not be relegated to secondary roles.

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While Ramaphosa had previously said he would reduce the size of his executive, he failed to make good on that pledge because he needed to accommodate both powerful ANC leaders and its new partners. 

Other key appointments in the cabinet include:

  • Paul Mashatile remains deputy president.
  • Kgosientsho Ramokgopa as minister for energy and electricity
  • Gwede Mantashe as mineral resources minister

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—With assistance from Rene Vollgraaff and Monique Vanek.

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