Government

5 important things happening in South Africa today

Staff Writer

 ·2 Aug 2019

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

• Public Protector Busisiwe Mkhwebane’s private banking accounts are reportedly being probed by FNB for possible violations of the country’s exchange control laws. Sources confirmed to the Mail & Guardian that investigations were underway, relating to payments made to her account between 2014 and present day of a few thousand dollars per transaction, emanating from Brussels and Paris. Mkhwebane said she is not aware of the investigation.  [M&G]

• The City of Tshwane and striking workers have reached a deal to end the prolonged strike, which shut down operations in the municipality, leaving many without basic services this week. The City has agreed to withdraw the 18% increases for senior staff pending a full benchmarking review. Samwu, which led the strike, said it would terminate strike action, and workers would return to work next week. [EWN]

• President Cyril Ramaphosa has acknowledged that the country is in a deep and serious crisis, and faces a daunting task to crawl out of its debt trap. The president was commenting on a slew of bad economic numbers that have battered the country over the last week – topped off with the recent unemployment figures showing an alarming jump to 29% by the narrow definition. Ramaphosa said of the unemployment numbers that it is a wake-up call that will push the government to do more to stem job losses. [ENCA]

• New research shows that government intervention on private-sector medicine, implemented in 2004, had an immediate, beneficial effect, resulting in much lower prices and easier access to medicine. The regulations were the single-exit price (SEP) regulations which regulated prices and introduced transparency along the entire supply chain. It capped prices and dispensing fees and levies. The study, by PLOS ONE, is the first to track the effects of the regulations. [Business Day]

• South Africa’s rand weakened on Thursday along with other emerging market currencies, a day after the US central bank cut lending rates but ruled out a long rate-cutting campaign. On Friday the rand was trading at R14.64 to the dollar, R17.72 to the pound and R16.22 to the euro.