South Africa’s new crisis, and Eskom owner of most expensive coal power station ever built

South Africa’s rand continued its recent rally on Tuesday (25 March) as the markets sought clarity on U.S. President Donald Trump’s tariff plans.

The rand was trading at 18.19 against the U.S. dollar, about 0.4% stronger than on Monday’s close.

Additionally, domestic data released earlier indicated that South Africa’s composite leading business cycle indicator rose by 0.9% month-on-month in January.

On Wednesday (26 March), the rand was trading at R18.28 to the dollar, R23.65 to the pound and R19.71 to the euro. Oil is trading lower at $73.18 a barrel.

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

New crisis: The auditor general has noted that widespread municipal governance failures and a pervasive lack of accountability are at crisis levels. The body noted that municipalities are increasingly ignoring and failing to implement the auditor general’s recommendations, undermining the effectiveness of audits. [Mail & Guardian]

Most expensive coal power station: When all costs pertaining to the construction of Eskom’s Kusile Power Station are considered, it is likely the most expensive project of its kind ever undertaken. This is according to energy expert Chris Yelland. [MyBroadband]

South Africa’s R18 billion hole: The government is expected to face a potential revenue shortfall of R18 billion in 2025/26 due to the National Treasury’s overestimation of GDP growth in the budget recently tabled by Finance Minister Enoch Godongwana. [Business Day]

Good news for South Africa’s economy: South Africa’s economy could expand by 2.1% this year, analysts at the Johannesburg-based lender said on Tuesday. That compares with the 1.7% expansion forecast by the central bank, up from 0.7% in 2024. [BusinessTech]

Fake cops in Johannesburg: The Johannesburg Metropolitan Police Department (JMPD) is investigating reports of bogus officers operating between Winnie Mandela Drive and Beyers Naudé. “The JMPD takes these allegations very seriously. The safety of our residents is our top priority, and we are actively investigating these reports.” [EWN]