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Shilowa ready for new party?

2008-10-15 10:20
line

Johannesburg - Former Gauteng province premier Mbhazima Shilowa signalled on Wednesday he was ready to join a breakaway party expected to be formed by disgruntled ex-members of the African National Congress.

The comments by Shilowa came two days after the ANC said it was suspending former defence minister Mosiuoa Lekota for threatening to form a breakaway group to challenge the party.

As one-time premier of South Africa's most important province, the country's financial and industrial heartland and home to the capital Pretoria, Shilowa could add weight to the dissidents led by Lekota.

The ANC said he had tendered his resignation from the party. Shilowa declined to comment on whether he had resigned in a radio interview.

A breakaway group would mark the biggest split for 50 years in the once monolithic ANC and fuel political uncertainty in the continent's biggest economy.

Disgruntled former ANC members

Shilowa resigned as Gauteng premier to protest the ANC's removal of President Thabo Mbeki. Married to one of South Africa's top businesswomen, Wendy Luhabe, Shilowa was a favourite of business leaders while he was premier of Gauteng.

Shilowa will hold a news conference on Wednesday when he is expected to announce his resignation from the ANC. He said he would give details of a congress of disgruntled former ANC members.

"I will be in a position to indicate both politically what my views are. But more so will spend a little bit more time giving content to what the convention should look at when it goes ahead," he told South Africa's Talk Radio 702.

ANC leader Jacob Zuma warned on Tuesday that the party would crack down on dissent.

Mbeki was forced out and replaced by Kgalema Motlanthe after a judge accused him of meddling in a corruption case against Zuma.

Motlanthe will likely step down after next year's elections and Zuma is expected to take over as president.

Although the ANC is facing the worst crisis in its history, foreign investors are mostly concerned with how the new leadership will manage the economy.

Rebellion

Investors are worried that Zuma and Motlanthe, strongly backed by the Communist party and powerful trade unions, may tilt South Africa to the left.

Motlanthe has vowed to stick to Mbeki's pro-business policies and sought to reassure investors by reappointing the popular and respected Finance Minister, Trevor Manuel.

It is not clear how much support former ANC chairman Lekota has, although he has said hundreds of local party supporters have resigned and regional and provincial ANC branches are contemplating leaving the party.

Zuma said the rebellion led by Lekota threatened to undermine the party's efforts to shield South Africans from the global financial crisis and improve services.

(Writing by Michael Georgy; Editing by Giles Elgood)

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