South Africa Nearing the Point of No Return

Gregory Hood, American Renaissance, 20 February 2018

For those ostensibly interested in building a multiracial democracy, the recent history of Zimbabwe should be a warning, not a model. However, South Africa appears poised to follow its northern neighbor’s disastrous policies of land confiscation and white scapegoating, accelerating the former First World nation’s decline. International observers are cheered by the departure of the “Rainbow Nation’s” famously corrupt president Jacob Zuma, but the new South African President, Cyril Ramaphosa, faces the all but impossible task of repairing the country’s crumbling economy while appeasing a black electorate that wants to seize white farmland.

President Ramaphosa, leader of South Africa’s dominant African National Congress (ANC), is taking office with sky-high expectations from both South Africans and the international community. However, there has been so much economic damage from Mr. Zuma’s administration that both S&P Global and Fitch have downgraded South Africa’s long term debt to “junk,” and Moody’s has put the country on review. If Moody’s follows S&P and Fitch, South Africa’s government will have to spend more on debt payments, and investment capital would flee the country, making it even more difficult to fund social programs. South Africa’s finance minister (who is seen as a Zuma loyalist and whose job is in doubt) says repairing South Africa’s credit rating will be a top priority…

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