Business

5 things you need to know in South Africa today

Staff Writer

 ·17 Nov 2016

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

• Continuing its ‘policing spree’, the DA is laying criminal charges against Eskom CEO Brian Molefe over his alleged involvement in state capture. This follows charges being laid against president Jacob Zuma over the same reasons. The charges against Molefe will be under the Public Finance Management Act; Prevention‚ Combating of Corrupt Activities Act; and the Powers‚ Privileges and Immunities of Parliament and Provincial Legislatures Act, the DA said.

• Meanwhile, president Jacob Zuma has criticised groups constantly taking matters to court, as if they are trying to run the country through the courts. He was referring to the DA, but also Freedom Under Law and the Helen Suzman Foundation, who approached the High Court to have NPA head Shaun Abrahams suspended. According to Zuma, processes were underway to decide Abrahams’ fate – and court action was premature and unnecessary.

• South Africa is unlikely to face a ratings downgrade to junk, according to  The Federation of Unions of South Africa (Fedusa), saying that it and other stakeholders have given ratings group Fitch ample evidence of their commitment to fixing up the economy. However, economists aren’t as optimistic. Fitch is currently in the county gauging the health of South Africa’s economy. S&P Global is also expected to make a decision in the coming weeks. Both agencies have the country one notch above junk.

• The SABC has revealed that it did not advertise for either of the jobs that were filled by Hlaudi Motsoeneng – head of corporate affairs, and previously, COO, currently filled by Bessie Tugwana – saying that it was not necessary, as Motsoeneng was a permanent employee that was promoted, and Tugwana was acting in the position. Opposition parties are arguing that both positions should have been advertised the same way the CEO position was.

• South Africa’s rand fell as much as 1.3 percent against the dollar on Wednesday, mainly reflecting broad dollar gains as investors increasingly price in a U.S. rate hike next month, traders and analysts said. Stocks rose, however, as buyers piled back into the oversold retail sector. On Thursday, the rand was trading at R14.28 to the dollar, R17.75 to the pound and R15.28 to the euro.