According to sources, during a meeting on Monday in Johannesburg, President Zuma told top officials from South African Communist Party about his plan to fire Gordhan. Although, he didn’t exactly say when he planned to fire him.
Zuma, 74, ordered Gordhan to cancel meetings with investors in the U.K. and the US and return home on Monday, a day after he had flown to London to begin the week-long roadshow.
A later meeting of the top six leaders of the ANC was to be held after the SACP gathering and there was no indication that they agreed with the decision to fire Gordhan. Zizi Kodwa, a spokesman for the ANC, said the people were misinformed.
The rand weakened as much as 2.9% and was at 12.9869 to the dollar by 9:32 a.m. in Johannesburg.
Speculation that Gordhan is on the verge of being fired has swirled for months, as he clashed with Zuma over the management of state companies and the national tax agency.
While Gordhan has led efforts to keep spending in check and fend off a junk credit rating, Zuma wants to embark on “radical economic transformation” that he says will tackle racial inequality and widespread poverty.