Banks warned over practices toward black businesses, and money set to flood into South Africa
The rand declined on Friday, influenced by a drop in commodity prices after strong labour data from the US reduced expectations for imminent Federal Reserve rate cuts.
The rand traded at 16.02 to the dollar, down about 0.4% from the previous day’s close.
“Yesterday’s retreat in commodities such as gold, silver, and platinum appears to be the primary driver of this move, with the USD continuing to trade in a tight range and offering little directional momentum,” said analysts.
In his annual address to parliament on Thursday, President Cyril Ramaphosa pledged to send the army to address organised crime and to take legal action against municipal officials who neglect to provide water to communities.
Analysts noted that the favourable response to Ramaphosa’s statements could enhance sentiment towards the rand.
Meanwhile, on the Johannesburg Stock Exchange, the Top-40 index declined by 1.2%.
As of Monday, 16 February, the rand is trading at R15.93 to the dollar, R21.72 to the pound, and R18.89 to the euro. Gold is currently valued at $4,985.78 per ounce, while oil prices have risen to $67.77 per barrel.
5 important things happening in South Africa today
Warning to banks: Banks may face a Competition Commission inquiry this year to examine their lending practices toward small and Black-owned businesses, says a partner at the legal firm Bowmans. He added that the issue received substantial interest at the Commission’s Competition Law, Economics, and Policy Conference last year. [News24]
Money expected to flood into South Africa: President Cyril Ramaphosa announced an expected R50 billion in digital infrastructure investment over the next three years. He has prioritised technology as a key component of the government’s economic agenda under the “fourth industrial revolution” (4IR). [BusinessDay]
Iconic Telkom campus for sale: Telkom’s training centre in Clayville East, Gauteng, is scheduled for auction on Thursday, 19 February 2026. Situated on a 247,000-square-meter erf, the dedicated corporate training facility includes classrooms and lecture halls equipped with modern technology, as well as practical training zones. [MyBroadband]
Government medical aid increase: The Government Employees Medical Scheme (GEMS) has announced a 9.8% increase in medical aid contributions. This decision has been broadly opposed by trade unions, which argue that GEMS was meant to be an affordable scheme but has become costly over time. The Federation of Unions of South Africa (FEDUSA) stated that hundreds of thousands of public servants in vital public service roles would face negative impacts due to the increase. [ENCA]
Good news for Diesel users: The South African Revenue Service (SARS) announced that starting April 1, 2026, diesel users in farming, forestry, and mining can recover 100% of eligible diesel claims, up from 80%. This update follows the 2025 Budget announcement by Finance Minister Enoch Godongwana. [BusinessTech]
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