Author: Agency

Government’s gross debt stock is projected to increase from R4.73 trillion in 2022/23 to R5.84 trillion in 2025/26, says Finance Minister Enoch Godongwana. “And because debt is high, our debt-service costs are also high,” Godongwana said while delivering the 2023 Budget at the Cape Town City Hall on Wednesday. Government, he said, must consider its consolidated position, which includes debt-service costs. South Africa’s consolidated fiscal deficit is projected at 4.2% of GDP for 2022/23, and this will reach 3.2% in 2025/26. The figures include the impact of the partial take-over of Eskom debt, with Godongwana saying that government debt will…

National Treasury has proposed to provide the country’s embattled power utility, Eskom, with R254 billion in debt relief over the next three years. This was on Wednesday confirmed by Finance Minister Enoch Godongwana while delivering the 2023 Budget Speech at the Cape Town City Hall. Of the R254 billion debt relief, R168 billion will be in capital while R86 billion will be in interest, said the the National Treasury in its 2023 Budget Review document. “Because of the structure of the debt relief, Eskom will not need further borrowing during the relief period. Government will finance the arrangement through the…

A National Prosecuting Authority (NPA) assistant director and her son (28), have been convicted by the Pretoria Magistrates’ Court for unlawfully being in possession of top-secret information. Jacobeth Lepinka (52) and her son, Kedifentse (28), were convicted on Friday and will be sentenced on 16 May. National Hawks spokesperson Thandi Mbambo said: “In 2014, NPA discovered that Lepinka took the laptop with classified information to her place of residence without authorisation. “A case of theft was registered and the incident reported to the Hawks’ Head Office based Serious Corruption Investigation team for further handling. The investigation commenced and led the…

Eskom board member, Mteto Nyati, says the power utility and its board is working intently on five key priorities to improve the performance of power stations and ease load shedding as swiftly as possible. He was speaking on Thursday during a media briefing to update South Africans on the challenges facing the power utility. Nyati said there are priorities that require day-to-day focus, whilst others require the power utility to be “slightly more strategic”. The five priorities include the 24-month generation recovery plan, which has two key elements. “The first [element] is to make sure that we have and we…

President Cyril Ramaphosa has called on all South Africans to pay for the electricity they use, as the country works towards overcoming the energy crisis. “As we work together to overcome the energy crisis, I call on all South Africans to pay for the electricity they use. We can only improve and expand the provision of electricity and other basic services if government and municipalities in particular have the means to do so. “Non-payment and illegal connections make electricity provision more expensive and less reliable,” the President said. Addressing the nation through his weekly newsletter, President Ramaphosa said the global…

South Africa’s delegation at the recently concluded Annual World Economic Forum (WEF) meeting in Davos, Switzerland, affirmed that the country is open to investment, and ready to partner with the local and global community to place the country’s economy on a higher, jobs-rich and more sustainable growth path. This is according to a statement by Finance Minister, Enoch Godongwana, who led South Africa’s delegation to the WEF meeting, which was held from 16 – 20 January 2023. “South Africa is on the road to economic recovery. The world recognises that. We have a long way to go, and economic outlook…

The Department of Small Business Development is working on an energy relief package for the Small, Medium and Micro Enterprises (SMMEs) with stakeholders to alleviate the devastating impact of load shedding on small businesses. SMMEs are particularly hit hard by continued power outages as many cannot afford alternative power sources such as generators. They are forced to pause trading during load shedding. As a result, some small businesses resort to selling perishable goods such as meat and vegetables at low prices, to avoid them rotting away, which affects their much-needed income. This has prompted Minister of Small Business Development Stella…

The Department of Public Enterprises (DPE) says it is seeking legal advice and will respond soon to a lawyer’s letter sent to it pertaining to load shedding and the imminent electricity tariff increase. This after a group of lawyers sent a letter to the department demanding, among other things, that the increase granted by the National Energy Regulator of South Africa (NERSA) not be implemented and that load shedding be immediately stopped or an explanation be provided as to why not. “The department received a letter from Mabuza Attorneys demanding that the department and Eskom make certain undertakings regarding load…

President Cyril Ramaphosa has cancelled his travel plans to Davos, Switzerland, in order to deal with the current load shedding crisis in the country. This was announced by the President’s spokesperson, Vincent Magwenya, on Sunday evening. The President was due to lead a South African delegation to Davos on Tuesday and participate in several events linked to the World Economic Forum (WEF) annual meeting, including the Dialogue on Economics of Women’s Health and the Annual Welcome Dinner hosted by Professor Klaus and Hilde Schwab. “Due to the ongoing energy crisis, President Cyril Ramaphosa has cancelled his working visit to the…

Finance Minister Enoch Godongwana says international and local challenges continue to pose as obstacles in the growth of the economy. This as real Gross Domestic Product (GDP) grew by some 1.6% in the third quarter of 2022. Speaking at the Pre-World Economic Forum (WEF) business breakfast held in Johannesburg on Thursday, the Minister said the impact of the COVID-19 pandemic on employment and investment continue to have an impact on growth and warned that the ongoing war between Russia and Ukraine could have a devastating impact. “The theme [for the WEF meeting], Cooperation in a Fragmented World, captures the combination…