High risk of load shedding remains, and storm brewing over cannabis ban

The South African rand strengthened on Monday as investors waited for clearer details from U.S. President Donald Trump regarding the next round of tariffs.

The rand traded at 18.1275 per dollar, reflecting an increase of approximately 0.5% from its previous close.

Zain Vawda, a market analyst at MarketPulse by OANDA, said that the rand is gaining support from the uncertainty surrounding U.S. tariff developments and elevated gold prices.

He also mentioned that the markets are likely to continue on their current path until the Trump administration provides more clarity on the proposed universal tariffs.

On Tuesday (25 March), the rand was trading at R18.24 to the dollar, R23.58 to the pound and R19.70 to the euro. Oil is trading lower at $72.97 a barrel.

Here are five other news stories making waves in South Africa today:

Risk of load shedding: Work is ongoing to bring six generation units back online after they went offline in the space of 12 hours, Eskom said late on Monday night. One unit has been restored. However, the risk of load shedding at short notice remains. [Eskom]

Cannabis legal storm: Cannabis Trade Association Africa (CTAA) has announced its intention to take legal action against the Department of Health following regulations banning food products containing cannabis and hemp. [News24]

VAT trouble for homebuyers: The effect of a VAT increase is likely to be felt across the property sector, influencing pricing, affordability and transaction costs. However, lower- to mid-income buyers and developers are likely to be the most affected. [Business Day]

Price warning for new cars: The impending shutdowns of ArcelorMittal’s Vereeniging and Newcastle long steel mills are expected to cause major supply chain disruptions for automotive manufacturers. With the plant out of the picture, several local carmakers will be forced to import their steel, increasing production lead times and costs. [MyBroadband]

Taxi strike: The Mdantsane East London Taxi Association (Melta) announced a complete shutdown of taxi services in the greater East London area on Tuesday. The protest is in response to allegations of police targeting prominent taxi boss Simphiwe “Gabs” Mtshala. [Times Live]