“It’s not really avoidable by diversification because (China) really is the market,” said Dennis Dykes, chief economist at South Africa's NedBank.

The impact of Chinese volatility comes as South Africa is reeling from its own internal problems. Last month, President Jacob Zuma fired the finance minister, Nhanhla Nene, but then struggled to replace him, first choosing the relatively unknown David van Rooyen and then removing him just days later, after the rand crashed. Zuma then settled on former finance minister Pravin Gordhan, but investors were already unsettled by the confusion.

Bond ratings agency Fitch downgraded the country’s rating to BBB-, as the turmoil sparked concern among investors that the ruling ANC party was not up to the task of managing the economy, including such challenges as limiting the country’s deficit, alleviating electricity shortages, and raising spending on transport and education.