Eskom hit with R12,900 per month pay increase demands, and one province at risk of going bankrupt
The rand strengthened on Wednesday as modest US economic data increased expectations of an interest rate cut by the Federal Reserve in December, which weighed on the dollar.
The rand was trading at 17.14 to the dollar, up 0.5% from Tuesday’s close, while the dollar fell 0.2% against a basket of currencies.
Like other risk-sensitive currencies, the rand often responds to global influences, including US economic policies and data, as well as domestic indicators.
Expectations for a quarter-point cut in the Fed’s interest rate next month have gained traction over the past few sessions.
This was fueled by weak economic data and remarks from central bank officials advocating for monetary easing.
Domestically, attention will be focused on producer inflation numbers to be released on Thursday, as well as credit, trade, and budget data due on Friday.
On the Johannesburg Stock Exchange, the Top 40 index was up 1.3% in the latest trading.
On Thursday, 27 November, the rand was trading at R17.12 to the dollar, R22.69 to the pound and R19.86 to the euro. Oil was trading slightly lower at $62.75 a barrel.
5 important things happening in South Africa today
Eskom hit with massive wage demands: Eskom’s financial gains in 2025 are threatened by worker demands for a 15% pay increase, compared to the official inflation rate of 3.6%. Eskom has proposed a 3.5% increase. A 15% raise would raise average salaries by R12,900 to R98,900 a month, significantly impacting the company’s finances. [Business Day]
One province at risk of going bankrupt: Delays in completing ever-increasingly expensive infrastructure projects and shoddy work by contractors risk bankrupting the Mpumalanga province. This is the warning from a joint delegation of Mpumalanga permanent delegates to the National Council of Provinces (NCOP) and Members of the Provincial Legislature (MPLs). [Newsday]
US hit back at South Africa: President Donald Trump said that he would not invite South Africa to participate in next year’s G-20 summit in Miami and that he planned to “stop all payments and subsidies” to the country, as relations between Washington and Pretoria continue to deteriorate. [BusinessTech]
The second Walmart to launch: Walmart will open its second store in South Africa at Fourways Mall in Johannesburg on Friday, 28 November 2025. The store will open its doors to the public at 08:00 on Friday with a ribbon-cutting ceremony led by store manager Lunghani Lincoln Mathebula. [MyBroadband]
Over 10 million South Africans is serious trouble: The National Credit Regulator (NCR) has revealed that more than 10 million South Africans are over-indebted. It added that 36% of the population have three to five credit accounts in arrears. [EWN]
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