South Africa’s decision to block a $23 billion merger between MTN Group Ltd. and India’s Bharti Airtel Ltd. may indicate President Jacob Zuma favors more state involvement in the economy to protect jobs and local industries.
Bharti and MTN abandoned talks after the deadline for an agreement expired on Sept. 30. Bharti said the structure of the deal failed to get approval from the South African government.
Zuma, who was swept into office in May with the backing of labor unions, is under mounting pressure to stem a slump in manufacturing output and the loss of tens of thousands of jobs as the economy suffers its first recession in 17 years. Until now, he has stuck to the business-friendly policies of the previous government, headed by Thabo Mbeki. Read the rest of this entry »
Gill Marcus, chairwoman of Barclays Plc’s Absa Group Ltd., was named as governor of the South African Reserve Bank to succeed Tito Mboweni, who has been criticized by labor unions for not cutting interest rates faster. Gill Marcus, a former deputy central bank governor, will take over the post on November 9 after Mboweni indicated a desire to leave the position, President Jacob Zuma told reporters in Pretoria today.
