Government

5 important things happening in South Africa today

Staff Writer

 ·6 Sep 2022

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

• Relief package: The South African government is debating the merits of introducing another relief package for citizens hard-hit by the recent economic turmoil in the country. The country is facing a cost of living crisis, which has already led to unrest and protest action. While there are no specifics about the package or what it would entail, concerns are being raised about the affordability of any relief from the state. [BusinessLive]

• E-toll replacement: Transport minister Fikile Mbalula says that if e-tolling gets scrapped in Gauteng, it will have to be replaced by something else. The minister repeated that an announcement on the widely rejected system would be made around the time of the mid-term budget speech in October. Because no one is paying e-tolls, the system is being financed through allocations from Treasury. It has been speculated that a fuel levy hike could be used to cover this. [Moneyweb]

• Coalition drama: The City of Joburg’s coalition is on the verge of collapsing as minority parties put city mayor Mpho Phalatse in their crosshairs. The so-called ‘one-seat parties’ are rallying to topple the DA-led coalition, with the ANC expected to benefit from their support to regain power in the metro. However, the coalition has accused ANC members of bribery and corruption in trying to buy the votes of smaller parties. It has laid charges against two ANC councillors to this effect. [TimesLive]

• Phala Phala: More details have emerged around the murky Phala Phala saga. Reports allege that president Cyril Ramaphosa knew about the $580,000 on the farm more than a month before the theft of the money took place. The president told the Public Protector that the money was handed to an employee for the purchase of some buffalo in 2019 and was kept in a safe. It was later moved to a ‘safer place’ – under some cushions in the president’s private residence. [News24]

• Markets: South Africa’s rand regained some strength through the day after falling to a two-year low on Monday but stayed above the R17 per dollar range as investors sought a safe haven amid concerns over global economic growth and energy prices. The rand is being guided by international markets more than local events, though it is expected to react to GDP data out later today. On Tuesday, the rand is at R17.12/$, R17.05/€ and R19.82/£. Brent crude is trading at $95 a barrel. [Reuters]