South Africa\u2019s National Treasury is considering whether a cash injection is needed to fully fix state port and rail company Transnet SOC Ltd., Finance Minister Enoch Godongwana said.<\/p>\n\n\n\n
Derailments, equipment shortages, vandalism, corruption and poor weather have hobbled Transnet\u2019s operations. That\u2019s prompted companies to cut thousands of jobs to reduce costs as commodities pile up at warehouses and ports. The Treasury agreed last month to provide a 47-billion rand ($2.5 billion) support package to the company, making about half of the amount accessible to meet immediate debt obligations. <\/p>\n\n\n\n
What\u2019s needed to fix Transnet \u2014 which has a 130 billion-rand debt pile \u2014 and improve its logistics network \u201cwill inform whether we do the injection or not,\u201d Godongwana told reporters in Johannesburg on Thursday at a pre-World Economic Forum briefing. \u201cWe\u2019re still doing the numbers.\u201d<\/p>\n\n\n\n