South Africa's finance minister risks facing legal action

South African police said on Tuesday that the Finance Minister, Pravin Gordhan, may face legal action for not co-operating with an investigation of surveillance by the revenue service.

S.A's Hawks consider taking legal action against finmin; Gordhan responds https://t.co/kqUXg45yMt

— Sheku Kallon (@shekukal) March 16, 2016

The Finance Minister has been involved in a public spat with police investigating his role in the establishment of a spy unit within the South Africa revenue service.

Following the statement, the rand fell more than three percent to the dollar while government bond yields jumped more than 30 basis points

Investors fear that Gordhan’s job is in jeopardy and his departure could spell disaster for an economy threatened with recession and on the brink of having its credit rating downgraded to junk.

Gordhan has repeatedly called the investigation a smear campaign aimed at tarnishing his and the Treasury’s credibility