- In 1993, FW De Klerk and his cabinet, enacted a statutory body called the Transitional Executive Council(TEC) of South Africa which was Chaired by Pravin Gordhan and gave him Executive Powers equal to that of FW De Klerk.
The position allowed Gordhan to take legislative decisions. This made Pravin Gordhan the first black President of South Africa even before the late President Nelson Mandela.
- In his capacity as the Chairperson/President of TEC, Pravin Gordhan signed off a $63 Million debt owed by the apartheid government of FW De Klerk with the IMF; a loan which was payed off over 8 years by ordinary South Africans including the African majority who were victims of apartheid.
- When Nelson Mandela became the “first” democratically elected President of South Africa in 1994 he said the following about the IMF loan: “We are limited in South Africa because our democratic Government inherited a debt which at the time we were servicing at the rate of 30 billion rand a year. That is thirty billion we did not have to build houses, to make sure our children go to the best schools, and to ensure that everybody has the dignity of having a job and a decent income.” (ACTSA 2002).
- Not only was the loan signed by Pravin Gordhan an impediment to economic development it also came with some conditions which where affirmed through a letter of intent assuring the IMF that when the ANC got elected into Power in 1994 it would implement sound fiscal and economic reforms which included;
4.1 The Independence of The Reserve Bank and the Public Investment Corporation
4.2 Protection of Intellectual and Property Rights
4.3 Privatisation of State Owned entities
4.4 Lowering corporate Taxes
4.5 Relaxing exchange controls et cetera.
This conditions are still enforced today and when we ask we are told we should leave such matters to experts such as Tito Mboweni, Maria Ramos and Kganyago. This are the same people trained by the IMF and World Bank whom with Pravin Gordhan oversaw the cancelation of the apartheid debt that trapped South Africans.
Hence the establishment will continue to protect him at all cost for he is its saviour.