5 Things

5 important things happening in South Africa today

Seth Thorne

 ·26 Jun 2024

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

• JSE says listings pipeline the best it’s been in 5 years: This year, two companies have joined the stock exchange, with more expected soon, with the Johannesburg Stock Exchange saying that this marks its most vibrant listings pipeline in five years. Valdene Reddy, the JSE’s capital markets director, anticipates additional listings, including “a combination of IPOs (initial public offerings)” and “unbundling or corporate actions”. [News24]

• Operation Vulindlela eyes local government: Speaking about what the unit’s priorities for the seventh administration should be, Operation Vulindlela hinted that it might prioritise local government reform to boost South Africa’s economic growth. The unit said that it is important to address local government, given its large role in obstructing investment by failing to deliver services and process approvals. The initiative, aimed at foundational fixes, could also tackle reforms for more dynamic cities to address apartheid-era spatial inequalities. [Business Day]

• BHI Trust investors served with letters of demand: Investors who profited from BHI Trust before its sequestration must repay their gains, following demands issued eight months after founder Craig Warriner’s arrest for running a Ponzi scheme. Roughly 2,000 investors lost R3 billion in total. Warriner, 60, was sentenced to 25 years for fraud and barred from the financial sector for 30 years after an investigation by the Financial Sector Conduct Authority (FSCA) into his activities.  [The Citizen]

• Nedbank adds R3.5bn to Cape Town’s infrastructure pool: The City of Cape Town has secured R3.5 billion in funding from Nedbank for a three-year infrastructure project, as announced by city officials. Approved on 12 June, this funding initiative is part of an effort that sees Cape Town committing R39.5 billion towards infrastructure development through June 2027, representing South Africa’s largest metropolitan investment in such projects. According to Mayor Geordin Hill-Lewis, this investment is expected to generate 120,000 construction-related jobs. [Moneyweb]

• Markets: The rand clawed back some losses in early trade on Tuesday, as local media reported progress in negotiations over cabinet positions between the two biggest parties in the unity government. On Wednesday (26 June), the rand was trading at R18.23 to the dollar, R23.09 to the pound, and R19.49 to the euro. Oil is trading at $85.34 a barrel. [Reuters]