South Africa's New Government Threatened by Dissent

South Africa's fragile Government of National Unity (GNU) faces internal conflict, leading to the postponement of the crucial budget speech. Disagreements within the GNU, particularly concerning a proposed value-added tax (VAT) increase, forced the delay. The South African rand weakened following the announcement, reflecting market anxieties about the government's stability. The GNU, formed after the African National Congress failed to secure a majority, struggles to reach consensus on key economic policies. This political instability threatens South Africa's agricultural exports, including vital fruit exports, at a time when the country faces growing international trade tensions. The delay also impacts much-needed investments in agricultural infrastructure, such as rail and port networks, crucial for efficient global trade.