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Speculation is rife that the DA and the EFF may have made inroads into a number of municipalities, but it is expected that the ruling party should maintain it’s overwhelming majority which should equate to continuity in policy path.
With this in mind, a key focus would be on the 'free and fair' election process and the social reaction which may occur as a result of municipal changes.
Recently, the changing of Tshwane mayoral candidates by the ANC was met with disdain by the Tshwane public and social unrest in the form of protest, violence and theft resulted. If a large scale event such as the upcoming elections invoke a similar reaction or is broadcast by the media in such a fashion, the recovery we have seen in the rand this year runs the threat of being unwound quite sharply as the negative sentiment is bound to be a deterrent to foreign investment (in the near-term at least) within the country.