R6 million blow to WeBuyCars, and South Africa’s richest city wants to escape Eskom
Despite thin trade due to the holiday season, the rand experienced a small rally on Tuesday, following a surge in the gold price.
The rand chalked up further gains against the dollar on Tuesday, helped by gold prices reaching another record high.
Gold rose to an all-time high above $4,500 an ounce on escalating tensions in Venezuela and expectations for more US rate cuts.
Silver and platinum also advanced to records. Spot gold climbed nearly 1%, building on three consecutive days of gains.
This drove the rand to trade under R16.70 against the dollar, continuing its strong showing in the closing weeks of the year.
Soaring prices of precious metals, a major South African export, have helped to propel the rand to its strongest in more than three years.
The currency is on course to end the year up more than 12% against the dollar, also bolstered by the country’s improved fiscal performance and success in containing inflation.
Johannesburg-listed stocks also advanced, with the Top-40 Index last up 0.6%, extending the previous day’s gains.
On Wednesday, the rand was trading at R16.67 against the dollar, R22.51 against the pound and R19.65 against the euro.
Gold was trading at $4,496.86 an ounce, while oil was higher at 62.81$ a barrel.
5 important things happening in South Africa today
R6 million blow to WeBuyCars: WeBuyCars has had to cough up R2.5 million, paid to the state, as part of a settlement agreement with the National Consumer Commission over contraventions of the National Consumer Act. The group has also had to refund R3.4 million to customers who laid complaints with the NCC. The complaints centred on WeBuyCars’ refusal to deal with or take responsibility for issues that developed within six months of the cars being purchased. As part of the settlement, the group agreed to change the problematic terms and conditions identified by the NCC. [News24]
Joburg trying to outrun Eskom: Joburg’s power utility, City Power, is exploring the acquisition of the Kelvin Power Station and Egoli Gas, as the city seeks to mitigate Eskom’s costly price hikes. While the purchases are subject to feasibility studies, the municipal utility noted that it has suffered 42$ losses of the power bought from Eskom, and that Kelvin Power Station’s electricity is far cheaper. Eskom’s power is not getting any cheaper, with the national utility planning an 8% tariff hike in 2026, pushing up to 9% if energy regulator Nersa has its way. [Daily Maverick]
Truecaller warning: Caller ID platform Truecaller has warned South Africans to be on guard as the country is entering its highest scam-risk period in five years. The company explained that South Africa is approaching the most dangerous period of the year for scam calls, SMS fraud and impersonation scams. New communication-risk data also revealed a sharp increase in fraudulent activity between November and January. According to the South African Banking Risk Information Centre (SABRIC) and industry-wide fraud monitoring reports, fraud incidents have risen 32% year-on-year. [Daily Investor]
Multichoice payday: MultiChoice’s integrated report for the 2025 financial year shows that former Group CEO Calvo Mawela received remuneration of $2 million (R37 million), while former CFO Tim Jacobs received R22 million. Mawela’s remuneration is significantly less than he received in the 2024 financial year, when his total single remuneration figure amounted to $2.9 million (then R53 million). He received his remuneration in dollars, and the rand figures were calculated using the dollar-rand exchange rate from 31 March 2024 and 2025, respectively. [MyBroadband]
KZN political chaos: Thirty-six members of the KwaZulu-Natal Provincial Legislature have been suspended following chaotic and violent scenes during a sitting earlier this month. Speaker Nontembeko Boyce announced this week that 35 of the uMkhonto weSizwe Party’s 37 MPLs, along with one Economic Freedom Fighters MPL, would be suspended. Boyce accused the members of the legislature of having conducted a deliberate, coordinated assault on the dignity of the House. The suspensions stem from disruptions during a sitting on December 15, when the legislature debated a motion of no confidence in Premier Thamsanqa “Thami” Ntuli. [Newsday]
Loading ...