About 148,000 jobs were lost due to Zuma firing Nene

Nhlanhla Nene’s axing by former president Jacob Zuma in 2015 led to R378 billion cut in the market capitalisation on the Johannesburg Stock Exchange (JSE), director general at Treasury Dondo Mogajane has said.

Mogajane revealed this on Friday during his testimony at the commission of inquiry into state capture.

He said Nene’s sacking led to a dip in business confidence and that 148,000 jobs were lost. Treasury estimated the impact of Nene’s removal at 1.1% of GDP by the end of 2017.

Nene was fired by Zuma in 2015 during the former finance minister’s first stint in the ministry. He was replaced by Des van Rooyen whose term at the office lasted a few days after public outcry led to him being replaced by Pravin Gordhan.

Nene recently handed in his resignation following revelations made during his testimony at the commission that he had met with the controversial Guptas.

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