Here’s what is happening in and affecting South Africa today:
- SARB said it will guarantee R336 million for VBS banking clients, who can now withdraw up to R100,000 of their money from Nedbank branches. However, roughly R1.5 million in municipal deposits will not be covered. VBS is in deep financial trouble, and has announced it will have to retrench staff, with its future uncertain. [Mail & Guardian]
- Eskom has received its money back from global consultancy McKinsey, which paid back R902 million for its work done on the power utility’s turnaround strategy. Eskom will now turn its attention to the Gupta-linked Trillian, who scored R600 million from the same invalid contract. [EWN]
- At least five incendiary devices have been found in high traffic areas of Durban over the last few days, sparking fear and panic among the populace. The improvised devices, believed to be explosive, were found around the Greyville Racecourse where the Durban July was being held, and in the Gateway shopping centre. Investigations are ongoing. [IOL]
- Former president Jacob Zuma has dumped his long-time lawyer and confidant, Michael Hulley, and replaced him with known Gupta associate Daniel Mantsha. Mantsha has a long history with the family, with reports claiming he was specially groomed to do their bidding. The leaked Gupta emails also showed his deep association with the family. [HuffPo]
- South Africa’s rand powered to its firmest in three weeks on Monday as risk demand globally was soothed by a sliding dollar, while the bourse ended higher with the stronger currency lifting commodity stocks. On Tuesday the rand was at R13.42 to the dollar, R17.77 to the pound and R15.76 to the euro.