Government

5 important things happening in South Africa today

Staff Writer

 ·9 Jun 2022

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

• Social grant failure: Various civil society bodies have accused the Department of Social Development of leaving over 10 million social relief of distress grant (SRD) beneficiaries without grants over April and May. According to the groups, SRD grant beneficiaries usually have two dependents and the government’s failure to distribute the R8 billion owed threatens the welfare of roughly half of all South Africans. [Moneyweb]

• More petrol price pain: The Deputy Director-General for Mineral and Petroleum Regulation said that current projections are for the oil price to move above $130 a barrel, which means South Africa is likely to face even higher petrol prices as a result. He added that coupled with other global factors, the weaponization of fuel by Russia’s war in Ukraine will be particularly damaging to developing economies. [ENCA]

• KZN aid still not provided: Close to two months after severe flooding in KwaZulu-Natal, the National Treasury is yet to receive any properly supported requests from provincial or local governments for the R1 billion relief that was made available. The R1 billion, in the form of grants, was intended for the initial phase of emergency relief with the second phase said to cost close to R25 billion to fix schools, clinics and infrastructure. [BusinessDay]

• Ramaphosa resignation not considered: The deputy president said that the government has not reached the point to consider President Cyril Ramaphosa’s resignation following allegations that the president concealed the theft of forex on his Limpopo farm. The deputy president has called for members of parliament to allow for law enforcement agencies to investigate the robbery without interference. [EWN]

• Markets: South Africa’s rand dipped in early trade on Wednesday, as the dollar rose, helped by a rise in US Treasury yields. Analysts said that the effects of floods as well as massive shortages in electricity are likely to dampen economic activity in the second quarter of South Africa’s financial year. The rand is currently trading at R15.29/$, R16.40/€ and R19.15/£. [Nasdaq]