• Home
  • News
  • Fortune 500
  • Tech
  • Finance
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
Jacob Zuma

South Africa’s Zuma Wins Party Backing as Gupta Row Mounts

By
Reuters
Reuters
Down Arrow Button Icon
By
Reuters
Reuters
Down Arrow Button Icon
March 20, 2016, 3:25 PM ET
The Davos World Economic Forum 2015
Jacob Zuma, president of South Africa, gestures as he speaks during a session on the opening day of the World Economic Forum (WEF) in Davos, Switzerland, on Wednesday, Jan. 21, 2015. World leaders, influential executives, bankers and policy makers attend the 45th annual meeting of the World Economic Forum in Davos from Jan. 21-24. Photographer: Jason Alden/Bloomberg via Getty ImagesPhotograph by Jason Alden — Bloomberg via Getty Images

South Africa’s ruling party said on Sunday it had full confidence in President Jacob Zuma after a three-day party summit following mounting claims of political interference by the leader’s business friends.

Pressure on Zuma intensified when former cabinet spokesman Themba Maseko told the Sunday Times newspaper that the president asked him in a 2010 phone call to meet the Guptas—a family of Indian-born businessmen who relocated to South Africa in the 1990s—at their home in Johannesburg and to “please help them.”

Zuma has so far insisted his ties with the Gupta family are above board, but investors fear further political uncertainty could hasten a credit ratings downgrade, potentially into “junk” territory, and sharply raise South Africa’s borrowing costs.

Zuma’s son, Duduzane, is a director—along with Gupta family members—of at least six companies, documents show.

The allegations have reinforced concerns over governance and stability in Africa’s most industrialized country. The opposition has called on Zuma to resign.

These 5 Countries Explain the State of Global Corruption

Gwede Mantashe, secretary general of the ruling African National Congress (ANC), said the party’s National Executive Committee held “frank and robust discussions” over claims the Guptas had influenced the appointment of ministers and deputies.

“The appointment of ministers and deputy ministers is the sole prerogative of the President of the Republic, in line with the Constitution. To this end, the ANC continues to confirm its full confidence in our President,” Mantashe told a nationally televised news conference.

Mantashe said party officials had not discussed Zuma standing down from the presidency during the summit. The 73-year-old president has survived several scandals over the years..

In the past week, senior officials have accused the Gupta family of wielding undue influence in government activities. The Guptas say they are pawns in a plot to oust Zuma.

Maseko said he met two Gupta brothers who wanted his help in directing government advertising to a newspaper that the family was launching, the report said.

The Gupta family rejected Maseko’s accusations.

For more on South Africa, watch:

“We are bemused by Mr Maseko’s six-year-old allegations, which are totally unfounded,” Nazeem Howa, CEO of Oakbay Investments, the holding company for the Gupta family’s businesses in South Africa, said in a statement.

The presidency made no comment on the claims, but in a statement rejected local media reports of an impending government reshuffle this week as “mischievous.”

Deputy Finance Minister Mcebisi Jonas said on Wednesday that the Gupta family had offered him former finance minister Nhlanhla Nene’s job shortly before Zuma abruptly dismissed Nene in December, sending South Africa’s rand down nearly 10%. Another ANC official also said last week that she had been offered a cabinet position by the Guptas.

Zuma has said in parliament that only he appoints ministers to the cabinet and dismissed Jonas’ account.

Mantashe said the party also had full confidence in Finance Minister Pravin Gordhan, who has been involved in a prolonged confrontation with the elite police unit Hawks. Gordhan has repeatedly said an investigation into a surveillance unit set up at the revenue service when he headed the agency was a smear campaign aimed at tarnishing his credibility.

The ANC said it had also discussed this year’s municipal elections in which it faces stiff competition from the opposition, notably in the commercial hub of Johannesburg and the capital of Pretoria.

About the Author
By Reuters
See full bioRight Arrow Button Icon
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

© 2025 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.