R1,615 per month blow for electricity users, and JSE responds to price manipulation claim

The South African rand weakened on Monday, primarily due to a much stronger dollar and declining gold prices.

This shift followed the announcement of a deal between the United States and China to reduce reciprocal tariffs, which improved the outlook for financial markets.

As a result, investors moved away from safe-haven assets like gold, leading to a 3% drop in its price. The rand was trading at 18.30 against the dollar, down 0.5% from Friday’s closing level.

This week, the focus within South Africa will be on the publication of the first-quarter unemployment data, scheduled for release today, May 13, followed by March’s mining production data on Thursday, May 15.

Oxford Economics has noted that both of these reports are likely to disappoint, aligning with its below-consensus forecast that gross domestic product will grow by only 1% this year.

On Tuesday, 13 May, the rand was trading at R18.26 to the dollar, R24.09 to the pound and R20.29 to the euro. Oil was trading slightly lower at $64.80 a barrel.

Here are five other important things happening in and affecting South Africa today:

R1,615 per month blow: According to the City of Joburg’s proposed budget, postpaid electricity users will face a fixed fee of R1,615 starting in July, before using any power. This is significantly higher than the R230 prepaid charge. The South African Photovoltaic Industry Association (Sapvia) highlighted that Johannesburg is the only major metro with such a large difference in charges for postpaid and prepaid customers, even for the same electricity consumption, which is raising serious concerns. [MyBroadband]

JSE response to price manipulation accusation: The JSE has rejected a criminal complaint by listed company Mantengu Mining after it was accused of manipulating the group’s share price. It said there is no basis for such false claims and that JSE staff will not be dragged to court over the dispute. [Business Day]

Teacher crisis: According to an education expert, over 31,800 teaching and leadership positions are unfilled despite being budgeted for. South Africa’s schools struggle with overcrowding, declining standards, and the risk of losing future generations’ potential. [Primedia Plus]

Important sectors at risk: Under the policies of United States President Donald Trump, the mining, manufacturing, and automotive sectors in South Africa are expected to encounter significant barriers, creating uncertainty for both investors and local businesses. [Daily Investor]

SA unsure it would welcome the 49 Afrikaners back: The South African government is considering its response if the 49 Afrikaners who left for the United States on Sunday night decide to return. During a media briefing in Pretoria on Monday, Minister of International Relations and Cooperation Ronald Lamola stated that his department, Dirco, and the Department of Home Affairs will develop a strategy and a response should this situation arise. [News24]