This week, Ivor Sarakinsky (PhD) has written a contributing piece for our readers analysing Ramaphosa’s Cabinet reshuffle. There have been many other developments this week – Trump has suggested some level of gun control and has also proposed steel and aluminium import tariffs; the Brexit negotiations have developed in their stagnation; and Vladimir Putin has confirmed the development of new nuclear missiles. Read on for more analysis.
Dynasty Thought – The New Cabinet or ‘Cyrillusion’
Dr Ivor Sarakinsky, in a piece compiled exclusively for Dynasty, explores the fragile accord that still exists within the ANC, as represented by the composition of the new Cabinet. Some commentators believe that Cyril is playing a long game of accumulation, extracting the maximum benefits out of imperfect situations. On the contrary, Ivor believes that Cyril missed his moment by not taking immediate steps to rationalise the Cabinet, as well as keeping various powerful and dubious figures together for the sake of unity within the Party. Ivor quotes the Grandmaster of chess, Siegbert Tarrasch, who asserted that “I look one move ahead… the best!” and that the long game is undermined by one or more bad short-term moves!
- The US’s trading partners have reacted angrily to Trump’s imposed import tariffs on steel (25%) and aluminium (10%). China, Canada, the EU, Mexico, and Brazil have said they will countermeasure and retaliate.
- Donald Trump has told the National Rifle Association (NRA), in a surprise move, that it is time to strengthen gun control. This was a hugely shocking suggestion on his part because of the NRA’s financial backing of his campaign and the general grasp the organisation has on America. The NRA has responded to Trump’s comments by saying that his remarks “made for great TV”, but “would make for bad policy” if implemented.
- Russian President Vladimir Putin has confirmed the development of new nuclear missiles. He also mentioned that this was in retaliation to the West’s arms race.
- The European Parliament has snubbed Theresa May’s concessions over EU migrants. This rejection casts fresh doubt over the prospect of reaching a transition agreement by March.
- Italy is facing a problematic Presidential election with none of the contenders being particularly attractive and rather a bag of fascists. Silvio Berlusconi is running again for the fourth time having been rejected from politics for six years following prosecution for tax evasion – and he is in the lead!
- South Korea cuts its ‘inhumanely’ long 68-hour working week. President Moon Jae-in has introduced a 52-hour work week to help improve quality of life, and boost employment and birth rates.
- Since December the rand has gained 13.3% against the US dollar.
- On Monday, President Ramaphosa announced his Cabinet reshuffle. It has been met with mixed reviews as many of the famously corrupt are still housed in the Cabinet. For further analysis, follow the link to Dr Sarakinsky’s contributing article compiled for our readers.
- Ramaphosa has said that the proposed land reform would not be a “smash and grab” and that farming should continue as usual. Expropriating land without compensation has been a hot topic this week, with Parliament voting in favour of a motion to consider amending the constitution in this regard.
- Business Day has compiled seven articles to read to understand land expropriation.
- Lynne Brown has resigned as an MP.
- South African Rugby announced a new Springbok coach yesterday, Rassie Erasmus.
Source: Dynasty, Stanlib, Prescient, Daily Maverick, Moneyweb, Reuters, and Bloomberg Markets etc