Business

5 important things happening in South Africa today

Staff Writer

 ·23 Nov 2022

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

• Eskom diesel: Eskom has approached National Treasury asking for another R15 billion for diesel and other fuel so that it can keep the lights on in the country. The power utility has run out of fuel to power its open-cycle gas turbines, which are able to stave off two stages of load shedding. The company has blown past its fuel budget, spending R12 billion, and says it cannot procure more diesel until April 2023 again. [News24]

• NHI rush: The portfolio committee on health, dominated by ANC members, is rushing to push through the controversial National Health Insurance Bill, intent on getting it passed through parliament before the party’s December elective conference. The committee hopes to have the bill passed by the National Assembly by 6 December, after which it will go on to the next stage of deliberations at the NCOP. [BusinessLive]

• SAA dealings: Airline businessman Gavin Novick says that the funding needed to get the ‘new SAA’ going under a private consortium has not yet been committed. Novick recently resigned as CEO of the consortium, citing a lack of transparency on the process. He said that at the time of his leaving, the R3 billion required to fund the project had not yet been committed. Other partners have pushed back against the narrative, saying Novick – the owner of competing airline Lift – presented a conflict of interest. [Moneyweb]

• Striking worker standoff: Striking public sector workers are threatening to launch an indefinite strike if their wage demands are not met. Unions held a strike on Tuesday which saw vital public services as hospitals affected. As workers vow to intensify their action, the Gauteng Department of Health obtained an interim interdict against striking workers at the Johannesburg Labour Court on Tuesday afternoon to prevent critical healthcare workers from abandoning their posts. [Daily Maverick]

• Markets: South Africa’s rand gained on Tuesday as the dollar retreated amid investor demand for riskier assets. Recent cooler-than-expected US inflation data has raised global investors’ hopes that the Federal Reserve may be in a position to slow its pace of interest rate hikes. On Wednesday, the rand was at R17.26/$, R17.82/€ and R20.51/£. Brent crude is trading at $88 a barrel.