IMF updates its growth forecast for SA and Gauteng Health dragged to court

Here’s what is happening and affecting South Africa today:

• IMF updates its growth forecast for SA: The IMF has left its growth forecast for SA unchanged in an update in which it held global growth at 3.2% for this year but cautioned that borrowing costs could stay high for even longer than previously expected, risking the “soft-landing” scenario. [Business Day]

• Gauteng Health Department dragged to court: SECTION27, representing the Cancer Alliance, is suing the Gauteng Department of Health for not using the allocated R784 million by the Gauteng Treasury in 2023. The funds were meant for life-saving cancer treatments and to reduce the backlog of radiation and surgeries in the province. The legal action targets Nomantu Nkomo-Ralehoko, the Gauteng Health MEC, nine other officials and the department. The case will be heard in the Gauteng Division of the High Court in Johannesburg on Tuesday, 23 July.[Times Live]

• Western Cape storm affects over 150,000 people: Western Cape Infrastructure Minister Tertius Simmers appreciates the national government’s fast disaster declaration for the province but is worried about how funds will be allocated. This follows after National Minister Velenkosini Hlabisa declared a disaster due to severe storms causing widespread infrastructure damage and displacements, especially in informal settlements. Assessments of the full extent of the damage are ongoing. [SABC]

• Sodi’s company still not blacklisted: As of now, the City of Tshwane has failed to blacklist Edwin Sodi and Blackhead Consulting for their involvement in the Rooiwal Waste Water scandal. Despite promises made in June 2023 to do so because of delays, non-performance, and suspected tender irregularities, the Treasury indicates the city hasn’t provided all necessary documents to enforce the blacklist. [News24]

• Markets: The rand clawed back some losses on Tuesday, after tumbling on Monday, on rising expectations that the U.S. Federal Reserve will soon cut interest rates. On Wednesday (17 July), the rand was trading at R18.05 to the dollar, R23.42 to the pound, and R19.69 to the euro. Oil is trading at $83.62 a barrel. [Reuters]