South Africa’s rand plunged five percent Friday after President Jacob Zuma sacked his finance minister and made ten new cabinet appointments in a dramatic reshuffle that has fuelled fears of a split in the ruling African National Congress.
Investors are now worried that Zuma, who has been tainted by corruption scandals, had secured a free hand over government finances.
The rand is on track for its biggest weekly drop since the days after Zuma abruptly dismissed Nhlanhla Nene as finance minister in December 2015, according to Bloomberg News.
The greenback was at 112.04 yen in Tokyo, from 111.86 yen in New York Thursday afternoon.