Warning to anyone who hasn’t paid their e-tolls, and tax surprise coming for businesses in South Africa
The rand continued its decline on Friday, set for a second straight week of losses as rising energy prices, driven by ongoing conflict in the Middle East, unsettled global markets and increased inflation fears.
The rand was trading at 16.80 against the dollar, remaining relatively steady from its Thursday closing value of 16.7950, while the dollar was up 0.4% against a range of currencies.
The rand has been under significant pressure since the onset of the US-Israeli conflict over Iran almost two weeks ago, having dropped more than 3% last week and is expected to decrease by about 2% this week.
The surge in oil prices presents a challenge for South Africa, which relies heavily on energy imports.
Oil prices have exceeded $100 a barrel, even as the US attempts to alleviate supply concerns by granting a 30-day license for countries to acquire Russian oil and petroleum products that are currently stranded at sea.
“While this war continues and the stress in the oil market builds, one should expect emerging market currencies such as the rand and its LATAM peers to underperform developed-market currencies, especially the U.S. dollar,” said analysts.
On the Johannesburg Stock Exchange, the Top-40 index fell 0.6%.
The rand is currently trading around R16.85 to the dollar, closing higher after a gruelling week. The rand is at R22.33 to the pound and R19.27 to the euro.
In commodities, oil prices are still above $100 a barrel, currently at $104.6, while gold remains above $5,000 at $5,016.88 per ounce.
5 important things happening in South Africa today
Warning to drivers in Gauteng: Motorists with outstanding e-toll bills may still be held liable for their debts as the Organisation Undoing Tax Abuse (Outa) and the South African National Roads Agency (Sanral) prepare for mediation. Outa CEO Wayne Duvenage stated that the case involves 2,028 individuals and businesses, totalling R265 million. [MyBroadband]
Possible tax surprise for businesses in South Africa: Starting on 1 April 2026, South Africa will increase its VAT registration threshold from R1.0 million to R2.3 million, as announced by Finance Minister Enoch Godongwana. While this change has been welcomed by many smaller businesses, those that deregister may still encounter unexpected VAT bills from SARS, according to Tax Consulting SA. [DailyInvestor]
Asian Bank in South Africa declared tax exempt: The government has granted the China-led Asian Infrastructure Investment Bank (AIIB) immunity from paying taxes as part of a broader range of immunities. This includes protection against the search or seizure of its properties. The Beijing-based development bank, which has a capital of $100 billion, now has 111 approved members worldwide, including South Africa.[BusinessDay]
Clicks issues recall of children’s snack: Clicks is recalling “Made For Tots Puffs Corn Chicken” snacks for children due to potential contamination with non-pathogenic Listeria. Around 400 packages have been sold, and over 800 have been removed from shelves. While contamination is generally not harmful, rare cases of illness have been reported. Consumers are advised to stop using the product and return it to any Clicks store for a full refund. [BusinessTech]
No mercy for criminals: The Chief of the South African National Defence Force (SANDF) announced that the SANDF will enforce the rules by any means necessary, as soldiers are being deployed to crime hotspots across Gauteng. During a joint media briefing in Tshwane, which addressed the deployment of soldiers to tackle illegal mining and gang violence, General Rhudzani Maphwanya stated that the soldiers will not hesitate to confront criminals. [TimesLive]
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