CAPE TOWN: South African police fired stun grenades on Thursday to disperse crowds outside parliament, hours before the annual state-of-the-nation speech by President Jacob Zuma, whom the opposition accuse of mismanaging the flagging economy.
Backed by several armoured vehicles, mounted police and a water cannon, police scuffled with protesters outside the assembly as opposition supporters clashed with Zuma supporters.
Zuma’s speech is expected to highlight policies to revive a flagging economy, hampered by years of weak growth, at a time the president is under fire over a taxpayer-funded 250 million upgrade to his private home.
After months of denying wrongdoing, Zuma promised last week to repay money spent on improvements unrelated to security.
Opposition parties have asked the country’s top court to rule on whether the president broke the law.
The opposition is hoping public anger over the upgrade and the nation’s economic woes will translate into votes in upcoming local elections.
Investors also want to know why Zuma fired two finance ministers in one week in December.
Minister Nhlanhla Nene was replaced by relatively unknown lawmaker David van Rooyen, sparking a selling frenzy in the markets.
Zuma swiftly replaced van Rooyen with the respected Pravin Gordhan. BNP Paribas Securities SA economist Jeffrey Schultz said the reshuffle "brought into question political stability of this economy and in particular the independence of the national treasury."
"The markets will be looking for some level of commitment from government that it remains committed to sustainable fiscal policy and a generally pro-business, pro-investment environment," he said.
Julius Malema, the leader of the far-left opposition Economic Freedom Fighters (EFF) party, said last week he would disrupt Zuma’s speech, as he did last year, if the president fails to explain his moves at the finance ministry.
The speaker of parliament has vowed to quash any attempts to disrupt the proceedings. South Africa’s rand currency hit a record low of 17.9950 in January after weakening by more than a quarter to the dollar last year. The central bank has forecast growth to reach only 0.9 percent this year. Unemployment is at 25 percent.
The economy is also reeling under its worst drought in a century, forcing Africa’s top grain producer to import maize.
The mining sector, hit hard by slowing demand from China, is shedding jobs and shutting unviable mines.
Outside parliament, Zuma supporters clashed with supporters of the EFF in sporadic scuffles, forcing police to fire stun grenades.
About 300 marchers walked through Cape Town’s main street, shouting: "Zuma Must Fall!" and waving placards.
"This is an opportunity for us as members of the public to voice our dissatisfaction with President Zuma," said entrepreneur Christelle Scheepers, who helped organise the march.
