It seems as though the fight for the presidency is not yet over.Many are surprised to learn that Pres.Thabo Mbeki has filed an urgent appeal with the Constitutional Court in an attempt to exclude remarks made by Judge Chris Nicholson about his interference in Jacob Zuma’s legal battles.More Breaking news is that Deputy President Phumzile Mlambo-Ngcuka has now resigned,this was confirmed by her spokesperson.

While the presidency is a huge issue what is all the recent political drama  doing to the South African economy?Some fears can be put to rest for the time being with the Rand closing at R7.98/$ and the all share index 1.93% higher yesterday.

There are a number of reasons for this,one of which is that the Presidential situation was not unexpected and that thus far our constitution has been upheld and democratic principals have been observed.

The other reason with great influence is that major investors are far more concerned with the financial crisis facing North America.The latest development being the government’s plans to buy $700bn worth of the banks’ mortgage debt.Many financial experts doubt this will be long-term solution to the problem and will push the country further over the edge.

There have been speculations about who will fill the position of acting President and the ANC’s favorite seems to be ANC Deputy President Kgalema Motlanthe.He seems to be well liked and has supporters such as Tokyo Sexwale.Also with today’s dramatic resignation of the Deputy President we are definitely in for some more surprises.

It seems we have to wait a few days longer for certainty but at least our economy is standing strong in the initial fall out.