Índex per 2022-02-24 a Star

Siyabonga Mkhwanazi siyabonga.mkhwanazi@inl.co.za STATE arms manufacturer Denel continues to be mired in financial difficulty with National Treasury giving it R3 billion in bailouts in the current financial year. But Finance Minister Enoch Godongwana yesterday warned that state-owned entities (SOEs) would not be given a blanket approach on bailouts, saying each case would be treated on merit. He said if an entity was given a bailout, it would be accompanied by tough conditions that would have to be met. It would not be business as usual. SOEs would have strengthen their balance sheets in the tough economic environment. Godongwana said billions had been spent on SOEs on the past few years and they needed to show returns for it. He said the government would need to ensure that entities that were…

Helmo Preuss THE National Treasury still intends launching a rand-denominated Islamic bond, but the timing of the launch is uncertain. In November 2021, the intention was to still launch it in the 2021/22 fiscal year as a way of diversifying the debt portfolio and introducing a new set of savers into its funding universe. It has previously issued a $500 million sukuk bond in 2014, when it became the first African nation to issue a sovereign sharia-compliant bond. At the time it received subscriptions worth $2.2 billion and it will be hoping for a similar over-subscription when it launches its rand-denominated bond. The Treasury said at the time that the decision to issue an Islamic bond has been informed by a drive to broaden the investor base and to set…

Peter Miller TO break down why the Gaming and Betting Tax Amendment Bill, published by the KwaZulu-Natal Legislature for public comment on December 10, 2021, would be counter-productive and imperil tens of thousands of jobs. At the very pinnacle of the horse racing Industry stand the owners of thoroughbred horses. Owners, in general, are wealthy individuals with sufficient money and ego to purchase a thoroughbred horse to race the horse against horses owned by others of similar ilk. Owners get their thrills by winning races and winning the stakes paid. Most horses never win at all, let alone win enough to pay the associated costs of buying, training, and running the horse. In truth, owners contribute handsomely to a massive voluntary redistribution of wealth because the majority spend…

Len Cloete, the man who was allegedly shot by police at a hotel in Muldersdrift in November, has been reunited with his family. Private investigator Mike Bolhuis of Specialised Security Services told IOL that Cloete returned home last Thursday after spending almost two months at a rehabilitation centre. Cloete was shot on November 15. A video, which was widely circulated on social media, shows Cloete wearing only his underwear, insulting police officers before allegedly seizing a gun from one of them. He was then shot at close range by another police officer. A case of attempted murder was being investigated by the Independent Police Investigative Directorate. | IOL…

Mayibongwe Maqhina mayibongwe.maqhina@inl.co.za FINANCE Minister Enoch Godongwana has allocated R44 billion to continue the special Covid-19 R350 social relief grant for another 12 months until March 2023. The allocation forms part of the R1 trillion allocated over the Medium Term Expenditure Framework to facilitate access to social grants and welfare services. The National Treasury’s Budget review document said the Budget responded to immediate needs of low income households by providing short-term assistance. “The 2022 Budget provides for a 12-month extension of the R350 per month special Covid-19 social relief of distress grant. “This will ensure the continuation of public support for poor households as the pandemic recedes.” Godongwana ruled out the extension of the R350 Covid-19 social grant any time soon to become a Basic Income Grant, though the country…

Brenda Masilela The National Consumer Commission (NCC) has advised consumers in possession of Similac Alimentum 400g infant formula to immediately discontinue use of the product and return it to the point of sale for a full refund. Acting Commissioner Thezi Mabuza said the supplier informed the Commission of the precautionary recall of Similac Alimentum in South Africa. The recall comes after certain powdered infant formula products produced by Abbott Nutrition were found to have harmful bacteria and was discovered at a manufacturing plant in the United States. “The manufacturer, Abbott Laboratories-Nutrition, informed the Commission of a voluntary recall following a global recall as announced by the supplier. “The supplier confirmed that the recall was prompted by consumers who reported that their infants presented some symptoms after ingesting the formula,” Mabuza…

VEHICLE CATEGORY Kia Sonet Compact Hyundai i20 Compact Peugeot 208 Compact Toyota Urban Cruiser Compact Chery Tiggo 4 Pro Compact Family Toyota Corolla Cross Compact Family Hyundai Kona Compact Family Hyundai Staria Midsize Hyundai Santa Fe Midsize Mercedes-Benz C-Class Midsize Audi A3 Midsize Hyundai Palisade Midsize Mercedes-AMG GLE 53 Luxury Toyota GR Yaris Performance BMW M3 Competition Performance Volkswagen Golf GTI Performance BMW 128ti Performance Porsche 911 Carrera GTS Performance Toyota Corolla Cross Hybrid New Energy Lexus IS New Energy Honda Fit…

ESHLIN VEDAN eshlin.vedan@inl.co.za AMAZULU FC players should know that their coach will always call a spade a spade, and he does not wait to get to the change-room to chastise them away from the TV cameras. It was, therefore, not unexpected of Benni McCarthy to slam his team’s finishing after they played to a goalless Premiership draw with struggling TS Galaxy at Moses Mabhida Stadium on Tuesday night. Despite dominating possession, Usuthu were unable to breach Galaxy’s backline. The result was their 13th draw of the season. “We were not clinical enough. We started well and dominated the game, making the opposition make a lot of mistakes. The high press worked well. A lack of conviction was the biggest problem for us,” said McCarthy. New AmaZulu signing Abraham Majok was…

Morgan Bolton morgan.bolton@inl.co.za THERE can be no denying that the task set before the Emirates Lions tomorrow (9.35pm SA time kick-off) is a mammoth one. Leinster are looking ominous, rolling over opposition in the United Rugby Championship (URC) with ease, their only slip-ups in 10 matches defeats to table-topping Ulster and Cardiff Rugby. In the matchday 23 they fielded this past weekend, they had 14 players with Test experience. The Lions have no current active Springboks, except for Jaco Kriel and Ruan Dreyer, both of whom played their last Tests in 2017. There were over 300 international caps in the Leinster side that crushed the Ospreys 29-7, and when you compare that, just for laughs, to the average age of the Lions’ 27-man squad in Dublin – 24 – you…

Ashfak Mohamed ashfak.mohamed@inl.co.za JAKE White admitted that the Bulls have their “backs to the wall” in the United Rugby Championship after going down to the Stormers and Sharks at their Loftus Versfeld ‘fortress’ recently. They will hope to pick up the pieces of their campaign to reach the play-offs against Zebre in Parma tomorrow, and are favourites to see off the Italians, who have lost all seven of their matches. Even the struggling Lions, who have won just two out of nine games, beat Zebre 38-26 at the Stadio Sergio Lanfranchi in September. But in the 29-22 loss to the Sharks, the Bulls were their own worst enemy. As coach White lamented, they had numerous opportunities to secure victory, but wasted several scoring chances. So, the biggest challenge for the…

Ashfak Mohamed ashfak.mohamed@inl.co.za THE high-riding Stormers face arguably the toughest test of their United Rugby Championship campaign on Saturday when they face Connacht in Galway (3pm SA time kick-off. The Irish outfit are just a point ahead of the Capetonians on 24, so coach John Dobson will hope that his team can pull off a famous victory at The Sportsground. But the Bulls found out on their European tour that Connacht are hard to beat on their home ground, so here are five lessons from that game that the Stormers would do well to heed this weekend… Prepare for the wind The Bulls were caught napping when they went down 34-7 to Connacht last October. There was a strong wind blowing on the night, and the South Africans had it…

Stuart Hess stuart.hess@inl.co.za THE selection of the Proteas starting XI last week wasn’t without its internal drama. Having agreed that the starting team didn’t need Keshav Maharaj and instead batting depth was more prudent, they then left out the most in-form player in the domestic game this season because the convener of selectors reckoned that the player was a back-up wicket-keeper first before he was a batter. The coach, who sits on the selection panel, didn’t agree with that, but nevertheless the convener got his way. Not that it made a difference in the outcome. South Africa, with their increased number of front-line batters, still only scored 212 runs in two innings in the first Test. So, as far as selection is concerned for the second Test against New Zealand,…

Siyabonga Mkhwanazi siyabonga.mkhwanazi@inl.co.za Finance Minister Enoch Godongwana injected another bailout of R21.9 billion into Eskom as it struggles to meet its financial obligations, but flagged it would need to sell some of its assets to reduce debt. The Eskom debt is R392bn and it’s also owed R40.9bn by municipalities. However, Godongwana would not say which assets Eskom would need to sell. “We expect Eskom to take further steps towards cost containment, conclude the sale of assets and implement operational improvements to enhance the reliability of electricity supply,” said Godongwana. He said National Treasury was also working with the power utility to reduce its debt. “Government continues to support Eskom to remain financially sustainable during its transition. To date, Eskom has been provided with R136bn to pay off its debt with…

Siphelele Dludla siphelele.dludla@inl.co.za SOUTH Africa’s economic growth could potentially weather the Covid-19 storm and recover back to pre-pandemic levels this year, but medium-term forecasts remain sluggish below levels required to spark a jobs and investment renaissance. Finance Minister Enoch Godongwana yesterday warned that the pace of economic recovery could slow, as risks beyond anyone’s control threaten to topple the current rebound. Tabling his maiden Budget speech, Godongwana said the country’s recovery would remain on shaky ground for the next three years as the elevated global and domestic risks rate have eclipsed the economic outlook. “Our economic recovery has been uneven and risks remain high. We must proceed with caution,” Godongwana warned. “Commodity prices, which have supported our economic recovery, slowed in the second half of 2021,” the minister said. Global…

Helmo Preuss IN NOVEMBER 2021, new Finance Minister Enoch Godongwana said he was the “new sheriff in town” and would tackle the outlaws. In February 2022, the country watched as the minister, armed in a suit and jaunty tie, with bold blue and white stripes against a brave purple background, proclaimed that the time had come to round up the posse to take down South Africa’s skelms. Riding at his side to combat the Wild West of South Africa’s dodgy dealings, came his posse: the National Treasury, the South African Revenue Service (Sars), and the National Prosecuting Authority (NPA), with the big guns: extended help from international agencies such as Interpol and tax authorities from around the world. The template for this international posse pursuing outlaws in various jurisdictions was…

NHLANHLA MBATHA nhlanhla.mbatha@inl.co.za FOR 44-year-old mother of four Nelisiwe Maphanga, the Budget speech delivered yesterday by the Finance Minister Enoch Godongwana, means nothing. The Mpumalanga-born Maphanga sells fruit, vegetables, and sweets at the corner of Sobukwe and Mathatha streets in Protea North, Soweto. She has been plying her trade since 1997 when she arrived in Gauteng, hoping for a “better life”. “Life has been very difficult back home. We lived in rural Mpumalanga where jobs are scarce. As a single parent I had to make a plan to feed my family and children,” she said. Maphanga said she tried to eke out a living back home, but it was difficult. “Businesses and industries are very few in my hometown. Our population is very big and we have to compete for…

Loyiso Sidimba loyiso.sidimba@inl.co.za | Political Bureau THE Justice Health Initiative (JHI) is demanding answers from Health Minister Dr Joe Phaahla as to which countries scored the multibillion-rand contracts to supply Covid-19 vaccines. The JHI has hauled Phaahla to the North Gauteng High Court, Pretoria, to force government to reveal details of the Covid-19 vaccine procurement contracts and agreements it entered into with nine manufacturers including Johnson & Johnson, Aspen Pharmacare, Pfizer, Serum Institute of India, Sinovac, the AU Vaccine Access Task Team, Covax and the Solidarity Fund. The initiative wants the high court to order that “to the extent necessary, setting aside and declaring invalid the failure by the second (information officer) and/or first respondent (Phaahla) to provide access to the information requested by the JHI”. The JHI also…

Jonisayi Maromo jonisayi.maromo@africannewsagency.com Ten suspects arrested during the multi-disciplinary operation in Rosettenville appeared in the Johannesburg Magistrate’s Court yesterday, the Directorate for Priority Crime Investigation (Hawks) said. “They are facing eight charges of murder, attempted murder, possession of unlicensed firearms and ammunition, possession of explosives and possession of hijacked vehicles,” said Hawks spokesperson Brigadier Thandi Mbambo. “They were part of at least 25 suspects who were accosted during a Crime Intelligence-led operation where their alleged plans to commit a CIT (cash-in-transit) robbery were intercepted by a multi-disciplinary team led by the national CIT task team in Moffatview, in the south of Johannesburg.” Mbambo said during the ordeal, eight suspects were fatally shot. “All South African Police Service members and a Johannesburg Metro Police Department member who were shot and injured…

Mayibongwe Maqhina THE fight against corruption and the strengthening of capacity in investigating and prosecuting criminal cases arising from the State Capture Commission have been given a shot in the arm. This as the peace and security cluster was allocated R664.3 billion over the medium term to focus on intensifying the fight against crime and corruption, and implementing reforms aimed at containing employee costs within some departments. Tabling his Budget speech yesterday, Finance Minister Enoch Godongwana said the government should take steps to improve state capability and reduce the scope for procurement corruption. The national Treasury’s Budget documents said R426 million has been allocated to the Investigative Directorate in the National Prosecuting Authority (NPA) and the Financial Intelligence Centre (FIC) in 2022/23. “This allocation, of which R262m is from reprioritisation…

Water is life. It is central to every aspect of life, and every living creature needs water. Basically, we cannot live without water as it has no substitute. South Africa is a water scarce country and climate change is having a negative effect on water availability and water resources. As we need water to survive, the onus lies with us to ensure that the available water and water resources are sustainable to keep providing us with the source of life. We need to play our part in ensuring water supply security – it is in our hands. The best way to ensure water supply security for our current and future generations is for us to be responsible citizens and water user. Water conservation is the key to water supply security.…

Viwe Ndongeni-Ntlebi viwe.ndongeni@inl.co.za CAMERA, lights and action – celebrities seem to have it all. They have fame and fortune but it appears that they are still not happy, proving that no amount of money and fame can buy happiness. Recently, we have been seeing a lot of celebrities found either dead in hotel rooms or in their homes with little or no explanation on what led to them taking their own lives. Yesterday, the news of local hip hop pioneer Riky Rick, real name Rikhado Muziwendlovu Makhado, 34, committed suicide came as a shock. Last month, veteran actor Patrick Shai committed suicide at his home in Soweto. Last year, Arendsvlei actor Ceagan Arendse’s family confirmed that the 34-year-old actor from Paarl suffered from depression and committed suicide. Also last year,…

Sonri Naidoo SOUTH Africa’s top break-dancers have pleaded for more government resources and support before a generation with potential is lost. Moegamat Safodien known as “Shorty Blitz”, was a judge at the Red Bull BC One competition held at Constitutional Hill in Braamfontein over the weekend. Safodien, who hails from the Cape Flats in Cape Town, is known for his talent in break dancing. This b-boy holds winning titles from some of the biggest breaking-dancing competitions both in SA and internationally. Safodien has shared a stage with musical artist DJ Ready D at the SA Heritage in Vietnam and has performed at Dance Africa in Chicago. He also won second place in the Red Bull BC One world finals in 2007. Locally, he has shared the YoTV platform with Ghanaian…

Motoring staff The Top 25 Finalists for the 2022 South African Car of the Year (COTY) competition has been announced. This prestigious competition, staged by the South African Guild of Mobility Journalists (SAGMJ), has run continuously since 1986. “This year’s COTY finalists show us the tremendous speed of research and development in the automotive industry. The finalists represent the best of the best in South Africa, and we are eager to see who the winners of this year’s competition will be,” said Carl Wepener, chairperson of the SAGMJ. Besides the overall winner’s crown, finalists can also win one of 10 categories: Budget, Compact, Compact Family, Midsize, Premium, Luxury, Performance, New Energy, Adventure SUV and 4X4 Double Cab. The first category, Budget, has no contenders this year. The most competitive categories…

INDIA’S new Test captain Rohit Sharma said he had no issues with managing his workload ahead of India’s three-match Twenty20 International series and two-Test series against Sri Lanka at home. Rohit was named Test captain last week, succeeding Virat Kohli as the team’s leader in all three formats. Kohli, India’s most successful Test captain, resigned from the role in a shock move last month after seven years in charge. “It’s a huge honour and it’s a great feeling to be captaining India in all three formats,” Sharma said yesterday. “I have a lot of challenges to look forward to now. “At the moment, I have no issues. I’m looking forward to play all the games, the workload always depends on what happens thereafter. You take it day-by-day and understand what…

Siyabonga Mkhwanazi siyabonga.mkhwanazi@inl.co.za TRANSNET is seeking private partners in the port and rail freight network by the end of the next financial year. The government has in the past few months stated its intentions to bring in private players in the rail network. The company has incurred a loss of R8.3 billion in the 2020/21 financial year. This was after a profit of R2.9bn in the previous financial year. The Covid-19 pandemic had played a part in the business and operations of Transnet during this period. But it was hoping to record better results next year after business operations resumed with improved sales. In the Estimates of National Expenditure, Transnet was looking for private sector players in port and rail. “The company will actively seek private sector participation in…

Siyabonga Mkhwanazi siyabonga.mkhwanazi@inl.co.za SASRIA is planning to increase its premium prices and look for new clients after the government gave it a shot in the arm of R22 billion to settle claims after the riots that broke out in KwaZulu-Natal and Gauteng destroyed thousands of businesses. Many businesses were affected by the damage and destruction during the riots in July last year in the two provinces with the loss of R50bn to gross domestic product. The National Treasury said the looting led to claims of R32bn, but Sasria was not able to meet all these claims. “To help settle claims and ensure that the insurer has sufficient capital to meet regulatory requirements, government has allocated R22bn to Sasria in the current financial year. “This includes R3.9bn through the Second Special…

THE 2022 BUDGET Review saw a significant improvement in the government’s debt-to-gross domestic product (GDP) projections and fiscal deficits. In the medium term, gross debt is projected to now stabilise at 75.1 percent of GDP in 2024/25 (previously the projection peaked at 78.1 percent in 2025/26), placing South Africa on a firmer footing to avoid a downgrade from ratings agency Moody’s given its negative outlook, which should now become more stable. The borrowing requirement has been reduced by R135.8 billion in 2021/22; R131.5bn in 2021/22 and 2022/23 combined. Fiscal consolidation has clearly been deepened and the revenue overrun is being used to shore-up state finances. Also as a consequence of the R182bn revenue overrun from the 2021 Budget estimate for this fiscal year, and a R62bn overrun…

While the digital divide is a real problem, experts question who would foot the bill While the digital divide is a real problem, experts question who would foot the bill after Minister of Communications and Digital Technologies Khumbudzo Ntshavheni, in her State of the Nation Address debate stated that every South African would be given access to the internet as a core utility. Earlier this month Ntshavheni said advancements in technology such as 5G and the planned release of valuable data spectrum would lead to the government offering “prescribed minimum data” to the home. “Data has become a new utility like water and electricity that our home needs. At some point, a South African household, despite whether they are rich or poor, will be given access to 10GB per month,…

Sonri Naidoo TWO pensioners, who rely mainly on the pension fund for survival, have described the increase as “disgusting” and “very sad”. Finance Minister Enoch Godongwana yesterday said the old age grant would increase by R90 in April and a further R10 in October. Faith Kenny, 64, is among those who rely on the pension fund for survival, and said she waited anxiously for the minister to deliver his speech. “To think that senior citizens are treated in such a way in this country is heart-breaking. The R1 800 we receive is not enough and you don’t know where and how to spend it. Once you start using the money for bread or anything else you need it just disappears,” said Kenny. She added that R90 was not enough, and…

Not enough focus on economy, reducing unemployment, say parties Siyabonga Mkhwanazi siyabonga.mkhwanazi@inl.co.za Political parties have cautioned that Finance Minister Enoch Godongwana should have taken stronger measures to revive the economy, reduce debt and create more jobs. This after Godongwana tabled his maiden Budget, in which he announced more measures to restore growth, improve revenue collection and fight crime and corruption. He said police would use some of the additional money to hire 12 000 new officers. He said they wanted to reduce the fiscal deficit from 5.7% to 4.2% by 2024/2025. They wanted debt to stabilise at 75.1% of GDP during the same period. But, Godongwana had some tough words for state-owned entities, that it would not be business as usual. He said tough conditions would now be put down…

Siyabonga Mkhwanazi THE government is developing a new funding model for students at institutions of higher learning, which will come into effect in 2023. The national Treasury said a ministerial task team had been set up to work on the model. This was revealed after Finance Minister Enoch Godongwana announced an additional R32.6 billion for the National Student Financial Aid Scheme (NSFAS) yesterday. The minister said that they had decided to prioritise spending on the social wage and this included education. They had allocated additional funds for students attending university or TVET colleges this year. “In 2017, government announced a policy for fee-free education. We are announcing an additional allocation of R32.6bn for financial support to current bursary holders and first-year students under NSFAS,” said Godongwana. National Treasury has said…

MAYIBONGWE MAQHINA WHILE the fuel and Road Accident Fund levies will remain unchanged during 2022/23, this will not be the case for alcohol and cigarettes as prices were set to be hiked. Excise duties on alcohol and tobacco would increase by between 4.5% and 6.5%. There are plans to increase the excise duty rate for cigars by between 5.5% and 6.5%. Finance Minister Enoch Godongwana said the government was also proposing to introduce a new tax on vaping products of at least R2.90 a millilitre from January 2023. He said a new tax would also be introduced on beer powders. This as the excise duty regime applied a flat rate for traditional African beer powder of 34.7 cents/kg. “There are similar products in the market. In the interest of…

DR THABISI HOEANE | Pretoria IT IS now very clear that the culture of impunity in South Africa is ingrained, with gross irresponsibility being the norm. This is in light of the recent campaign by the Tshwane Metro to raid establishments around the city to pay for their services in the process raising billions of rand. Usually, when this issue of refusal to pay and wanting things for “free”, we are incessantly referred to townships and so-called squatter camp residents and other deprived communities. But the cat is out of the bag. Large public institutions ranging from government departments, to universities, to private concerns are also on the bandwagon. No sooner had the campaign started and they realised that they were in its sights – and even shortly…

Chad Williams Tracy Duncan, 36, from Goodwood in Cape Town, was born with a profound hearing loss. But Duncan hasn’t let her hearing impediment stop her from making an impact in the lives of others, as she, along with a team of 13 other hikers, prepare for their trek up Africa’s tallest mountain, Mount Kilimanjaro, in August, the Climb4Deaf Challenge. At 30, Duncan decided to get a cochlear implant operation, and it changed her life drastically. “Not many children’s parents have the same support that I had. The cost of an implant is R375 000 to R400 000.” This year, Duncan is teaming up with the Be the Best Version of Yourself Foundation, which is a non-profit company, and other deaf hikers to climb Mount Kilimanjaro to raise funds for…

MIHLALI BALEKA mihlali.baleka@inl.co.za Kaizer Chiefs head coach Stuart Baxter and not sporting director Kaizer Motaung jr, head of technical team and youth development Molefe Ntseki or football manager Bobby Motaung has the final say when it comes to team selection. That was the stance of Motaung, who was quizzed about the outcry from some supporters who feel that Baxter has preferred to select the tried and tested personnel since taking over the reins last year. Motaung was speaking at the announcement that Chiefs and sponsors Toyota SA Motor have ‘solidified’ their five-year partnership, a new deal that will include the motoring powerhouse’s name appearing on the kit of Amakhosi. Said Motaung: “First thing I want to say is that people get appointed and have certain roles and responsibilities that they…

PHIL Mickelson has apologised for remarks about the US PGA Tour and Saudi Arabian backers of a proposed rival tour, saying he will “desperately need some time away” from golf. The 51-year-old left-hander, winner of six Major titles and the reigning PGA Championship title holder, also lost long-time sponsor KPMG after issuing a lengthy apology on Twitter. Author Alan Shipnuck released excerpts last week from his upcoming book about Mickelson, the US star calling the Saudis “scary” with a “horrible record on human rights”. “Knowing all of this, why would I even consider it?” Mickelson said about the potential for joining the Saudi tour. “Because this is a once-in-a-lifetime opportunity to reshape how the PGA Tour operates,” he said. “They’ve been able to get by with manipulative, coercive, strong-arm tactics…