The New New Dawn
South African investors finally have something to cheer about, and local assets rallied strongly last week. The newly inaugurated Government of National Unity under President Cyril Ramaphosa is not going to solve all or even most of the country’s problems, but it can address a handful of big blockages that hinder economic growth. It has also placed adherence to the Constitution at the centre of its agreement, as well as professionalising the public service. Can it boost that intangible ingredient of economic activity that John Maynard Keynes, the great British economist, called “animal spirits”? In other words, the willingness of investors and entrepreneurs to risk capital in search of better returns.