JOHANNESBURG: South Africa’s rand firmed slightly in early trade on Thursday, recouping some of the previous session’s losses as focus shifted from a delay in the national budget to the first meeting of G20 foreign ministers in Johannesburg.
At 0812 GMT, the rand traded at 18.4925 against the dollar , about 0.2% stronger than its previous close.
The local currency slipped on Wednesday after a last-minute postponement of the budget due to disagreements within the country’s coalition government over a proposal to hike value-added tax (VAT).
President Cyril Ramaphosa said the cabinet would work together to deliver a new budget, which is now scheduled for March 12.
South Africa, which currently has the presidency of the Group of 20 major economies, will host the first meeting of foreign ministers later on Thursday amid tensions with the U.S. over the country’s land redistribution policy and its genocide case against Israel at the World Court.
South African rand slides after national budget postponed
G20 finance ministers and central bank governors are due to meet next week in Cape Town.
South Africa’s benchmark 2030 government bond was slightly stronger, with the yield down 1.5 basis points to 9.165%.
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