Why does this matter to me?

We warned clients earlier this week that the Rand faced weakness due to a Budget impasse, the risk of the DA exiting the GNU, and potential US tariffs on South African exports. These risks have largely materialised, resulting in a 4% trade-weighted Rand depreciation. While much of the bad news is priced in, we don’t expect a major sell-off; however, we’re concerned GDP growth may be weaker than forecast.