Business

5 important things happening in South Africa today

Staff Writer

 ·5 Feb 2021

Here’s what is happening in and affecting South Africa today:

Coronavirus: Global Covid-19 infections have hit 105.4 million confirmed, with the death toll reaching 2.3 million. In South Africa, there have been 3,751 new cases, taking the total reported to 1,466,767. Deaths have reached 45,605 (a daily increase of 261), while recoveries have climbed to 1,327,186, leaving the country with a balance of 93,976 active cases.

• Alcohol ban: Despite South Africa’s third alcohol ban lifting, a fourth one is not off the cards according to Cogta minister Nkosazana Dlamini-Zuma. In a responding affidavit in her legal battle with SA Breweries, the minister said that future alcohol bans are “not inconceivable”, with the measure based on circumstance in the country at any given time. SAB took to the courts to try and get blanket bans on alcohol deemed unconstitutional. [Fin24]

• Pay back the money: Over R26 million is being recouped from companies that overcharged for personal protective equipment related to the Covid-19 outbreak. Twenty companies linked to PPE contracts in Gauteng are being forced to pay back the money, following investigations. Contracts were terminated and deemed illegal, after it was found that the Gauteng government paid more than they should have for the items. [ENCA]

• Distress: Following the news that Greyhound and other bus operations in South Africa were shutting their doors, another bus group is facing retrenchments. Putco has announced that it is in the process of retrenching 214 employees, after the Covid-19 pandemic and lockdown cut its operating volumes by 50%. The group has a fleet of over 1,400 vehicles and has been operating at a loss. The PPE and sanitisation requirements have added further strain to the business. [EWN]

• Vaccine business: The ANC’s business wing is reportedly pushing for a cut of the South Africa’s Covid-19 vaccine rollout, lobbying president Cyril Ramaphosa for contracts involved with getting doses to the population. Proponents argue that opportunities exist along the value chain of rolling out the vaccine, and black businesses should benefit from this as nothing is being done for free. Opponents argue that it will be a repeat of the R7.5 billion that was lost to wasteful spending during the PPE rush at the start of the pandemic. [Daily Maverick]

• Markets: There is little change in the global environment as we head into the final day of the week, with the rand holding steady while gold is set for its worst weekly performance in ten weeks. US unemployment and payroll data are due today. The rand starts the day on Friday at R15.02 to the dollar, R17.96 to the euro and R20.53 to the pound. Commentary by Peregrine Treasury Solutions. [XE]