South Africa’s Cabinet backs Seiso Mohai to lead troubled PIC as Ramaphosa seeks stability
?s Cabinet has approved Seiso Mohai to take over the Public Investment Corporation, a move aimed at steadying the state-owned fund manager after ...
South Africa’s Cabinet has approved Seiso Mohai to take over the Public Investment Corporation, a move aimed at steadying the state-owned fund manager after weeks of leadership turmoil. The appointment is expected to be made public on Thursday.
Mohai currently serves as deputy minister in the Presidency for planning, monitoring and evaluation. He is also a veteran lawmaker, with more than 13 years in Parliament behind him. Cabinet signed off on his appointment on Wednesday, according to the source material.
Pressure builds at the PIC
The PIC has been under strain since deputy finance minister David Masondo resigned last week, following reports of a breakdown in relations with finance minister Enoch Godongwana and the now-suspended CEO Patrick Dlamini. The resignation added to the sense of instability around one of South Africa’s most important state asset managers.
Sunday Times reported last weekend that Masondo also stepped down after President Cyril Ramaphosa gave him an ultimatum to resign or be fired. The sequence of events has sharpened attention on how the government plans to restore calm at the PIC, which manages large public funds and sits close to the center of state financial power.
Presidency moves to contain the fallout
Mohai is expected to be announced as PIC board chairperson when minister in the Presidency Khumbudzo Ntshavheni delivers the post-Cabinet statement on Thursday. That announcement will be watched closely. The chairmanship carries weight well beyond the boardroom.
Ramaphosa has also been said to have sought legal advice on whether the PIC could be moved temporarily under the Presidency, a sign of how seriously the government is taking the dispute. The aim, according to the source material, was to shield the asset manager from the internal wrangling that has engulfed its leadership.
The legal opinion was meant to examine two possible options, though the material provided does not spell them out. For now, the focus is on Mohai and the next formal statement from the Presidency. If confirmed, he will walk into a bruised institution that badly needs a calmer hand.
