Business

5 important things happening in South Africa today

Staff Writer

 ·3 Dec 2020

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

Coronavirus: Global Covid-19 infections have hit 63.82 million confirmed, with the death toll reaching 1,482,500. In South Africa, there have been 4,173 new cases, taking the total reported to 796,472. Deaths have reached 21,709 (a daily increase of 65), while recoveries have climbed to 734,305, leaving the country with a balance of 40,458 active cases.

• Wage bill battle: Government says it can’t pay public service workers the agreed wage increases because of Covid-19 nearly collapsing the economy. Unions say government is using the outbreak as an excuse. Legal teams are asking the courts to push everyone back to the negotiating table so that at least some form of compensation is given, and that government can’t renege and get off scot-free. Government, meanwhile is offering a once-off bonus and pension holiday. Judgement in the case is reserved. [Moneyweb]

• Local lockdowns: President Cyril Ramaphosa is expected to address the nation soon, with many anticipating a clamp down and tightening of lockdown restrictions in Covid-19 hotspot areas around the country. The current Covid-19 epicentre, Nelson Mandela Bay, says that it has already met with the president and made its submissions, asking for a 22h00 curfew and for liquor trade to be banned over weekends again. Other hotspots have already taken their own measures, putting a stop to mass gatherings and events. [Enca, Daily Maverick]

• Booze ban: An alcohol policy NGO says that South Africans cannot be trusted to police themselves around alcohol use, and that government should introduce tighter measures around the consumption of alcohol in the country. The group says that drinking alcohol should be banned in public places over the festive season, and a 0% limit for drivers – and licence suspension for any drivers caught with alcohol in their system. Tighter alcohol restrictions are expected to be announced as part of measures to curb the latest Covid surge. [EWN]

• No confidence: President Cyril Ramaphosa is set to face a motion of no confidence vote in parliament today, brought by the African Transformation Movement. With the DA already saying it will abstain, and the ANC said to be backing Ramaphosa, analysts say the motion will likely be dead on arrival. However, the ATM – which has ties to controversial figures, and represents certain interests and factions within the ANC – is pushing for a secret ballot vote, in the hopes that there are enough against Ramaphosa within the ANC for the motion to succeed. [702, Daily Maverick]

• Markets: The rand weakened to trade in a softer range of R15.28/$ to R15.43/$ yesterday, as fears of a new wave of lockdown regulations hit the country. The weakening was, however, short lived as vaccine and stimulus hopes continue to bolster risk appetite. Local Standard Bank PMI is due today followed by EU PMI and retail sales, UK PMI and US Challenger job cuts, jobless claims and PMI. The rand starts the day at R15.28 to the dollar, R18.53 to the euro and R20.47 to the pound. Commentary by Peregrine Treasury Solutions. [XE]