Índice para 2025-03-14 em Cape Times

The announcement of a staggered increase in value-added tax (VAT) by Finance Minister Enoch Gondongwana during his Budget speech on Wednesday has sent ripples of concern across South Africa's business sector and the civil society. With VAT set to rise by 0.5% in both the 2025/2026 and the 2026/2027 financial years, culminating in a total increase to 16%, stakeholders are increasingly vocal about the implications of this fiscal decision for both businesses and the general populace. To soften the blow of these increases, Gondongwana proposed expanding the basket of VAT zero-rated food items, set to include canned vegetables, dairy liquid blends, and organ meats from sheep, poultry, and other animals. However, many experts and advocates have argued that this may not be sufficient to alleviate the looming pressures on household…

South Africa’s productive sectors began the year on a slippery slope as both mining and manufacturing output plunged in January on the back of persistent economic constraints. Data from Statistics South Africa (Stats SA) on Thursday showed that mining production shrank by 2.7% year-on-year in January following a 2.4% decline in December 2024. This extends a three-month downward trend and marks the steepest decline since June 2024. Stats SA’s principal service statistician, Jean-Pierre Terblanche, said iron ore was the largest negative contributor, retreating by 15.1% while coal, platinum group metals (PGM) and chromium ore also performed poorly. Combined, these commodities make up over 65% of the mining basket. “On the upside, gold turned positive after 14 consecutive months of decline. Manganese ore, copper, nickel and diamond production also expanded in…

South Africa has a housing supply backlog of at least 2.2 million units, with a significant shortage in the affordable housing or “gap market”, according to a recent study by the Centre for Affordable Housing Finance (CAHF). The gap housing market is generally considered to be households earning too much to qualify for Reconstruction and Development Programme (RDP) housing but too little to obtain traditional bank-financed homes in the open market. 40% of consumers fall into the RDP housing category (household incomes below R3 500 per month), and the wealthiest 30% of households are well-served by the open housing market. Massive demand The gap market is the middle 30% of consumers where the supply of housing stock is extremely low and even declining despite massive demand. A market design…

Tongaat Hulett on Thursday said it was primed for the 2025/26 sugar season, with operations set to commence smoothly in April and early May, following an extensive off-season maintenance programme. The sugar producer said a significant investment of R460 million has gone into improvements at its Maidstone, Amatikulu, and Felixton mills, its central refinery in Durban, and the Voermol animal feed facility. It said this financial commitment was a testament to its dedication to operational excellence, ensuring that they can welcome sugarcane deliveries from growers as the season begins. As the sugar industry faces challenges such as declining global prices, job losses induced by the sugar tax, and insufficient import tariffs that allow for increased sugar imports, Tongaat Hulett said it remained resolute in maintaining a seamless and efficient milling…

Standard Bank Group wants to lead energy and infrastructure development in Africa by helping mobilise for clients some of the estimated R3.4 trillion that will be required to be spent on roads, bridges, energy and other projects across the continent over the next two decades, CEO Sim Tshabalala said. Tshabalala, interviewed at the release of financial results for the year to December 31, said the group had facilitated R74 billion in sustainable finance transactions on the continent and in South Africa in 2024, and R177bn cumulatively since 2022. Africa's largest bank by assets operates in 20 African countries with plans to open an office in Egypt and expand in East and West Africa. Tshabalala said Africa has 600 million people without access to an electricity grid, which needs to be…

RENOWNED South African playwright, novelist, actor and director, Athol Fugard, who died on Sunday, at the age of 92 will forever be remembered for using arts to rouse the consciences of international audiences in support of the anti-apartheid struggle. In his career spanning 70 years, he penned more than 30 plays. His first theatrical work, The Rehearsal Room, rejected the segregationist policies of the time. It featured a multiracial cast when apartheid laws sought to divide South Africans. This defiant stance led to many of his works being censored and banned by the government. He collaborated across racial lines. The Eastern Cape-born legend initially dived into acting but later found a passion for writing and theatre. He moved to Johannesburg in 1958, and worked as a clerk in a Native…

Bafana Bafana will continue their bid to qualify for the 2026 Fifa World Cup as they shift their focus to the upcoming qualifiers against Lesotho and Benin. On Thursday, Hugo Broos named a 23-player squad that will take on neighbors Lesotho next Friday at the New Peter Mokaba Stadium (kick-off 6pm). Four days later, they will travel to Ivory Coast to face Benin at the Stade Félix Houphouët-Boigny Stadium in Abidjan (also 6pm). South Africa are currently second in Group C, level on seven points with Rwanda after each of the six teams have played four matches. Broos and his charges suffered a setback with a 2-0 loss to Rwanda early in the qualifiers, but they have since picked up four points from their last two fixtures, leaving them behind…

In addition to mobilising investment, this partnership will be a forum for regulatory co-operation between the EU and SA The South African government has welcomed the €4.7 billion (R93.5bn) package announced by the European Union (EU) to support strategic investment projects in the country. During the SA-EU Summit in Cape Town on Thursday, leaders of the EU announced the multi-billion euro as part of the Global Gateway Investment Package. “We are presenting a new €4.7bn Global Gateway investment package for South Africa for projects that support a just energy transition, for connectivity – both physical and digital, and for vaccines, produced in Africa, for Africa,” said Ursula von der Leyen, President of the European Commission. “Today we’re taking our trade and investment relations forward. We’re launching talks on a next-generation…

The Agricultural Business Chamber of South Africa (Agbiz) has expressed serious concerns regarding the nation's potential removal from the African Growth and Opportunity Act (Agoa). The apprehension follows US President Donald Trump’s decision last month to end USAID to South Africa, igniting fears of an impending economic setback. Wandile Sihlobo, chief economist of the Agbiz, on Thursday said the possibility of South Africa being expelled from Agoa would have a negative impact. “Tariffs could average around 3% on exports to the United States, which would significantly hurt South Africa’s access to the American market, ultimately weakening its competitiveness,” he said. Sihlobo added that there is growing international pressure and uncertainty surrounding the country’s trade relationship with the US. “I remain hopeful that South Africa will still be part…

The statutory earnings threshold (Threshold) will increase to ZAR 261 748.45, representing a ZAR 7 376.78 increase from the current Threshold. The Threshold, a determination in terms of section 6(3) of the Basic Conditions of Employment Act (BCEA), affects the applicability of certain provisions of the BCEA, Labour Relations Act (LRA), and Employment Equity Act (EEA). Employees earning above the Threshold are not entitled to certain protections afforded to those earning below it. The purpose of the Threshold is to ensure greater protection for more vulnerable employees earning below a specified income. Sections of the BCEA regulating ordinary hours of work, overtime, meal intervals, daily and weekly rest periods, Sunday pay, night work pay, and public holiday pay apply only to employees earning below the Threshold. Employees earning above the…

Hyprop Investments will focus on organic growth at its specialist retail centres in South Africa as well as actively seek new opportunities in Eastern Europe during the second half of its 2025 financial year, CEO Morné Wilken said Thursday. The JSE’s REITs South African portfolio comprises centres such as Canal Walk, Somerset Mall, Hyde Park Corner and Rosebank Mall. In Croatia, it owns City Center One Zagreb East and City Center One Zagreb West; it owns Skopje City Mall in North Macedonia and The Mall in Sofia, Bulgaria. Wilken, speaking in an online presentation at the release of financial results for the 6 months to December 31, said they were set for good growth in the second half and they also intended to recycle one of its South African assets,…

The South African Police Service (SAPS) DNA samples backlog has once again spiralled out of control and now exceeds 140 000 cases. This, according to a report, resulted in criminal cases being withdrawn from the court roll. This also means that the rights of victims of crime are not protected, and their safety is compromised as they continue to live in the same surroundings with the perpetrators. Police Portfolio Committee chairperson, Ian Cameron, said this perpetual crisis was despite the concerted efforts made by the 6th Parliament committee and assurances that the situation was improving and that the backlog would be erased. Cameron said this was a direct threat to an effective criminal justice system that can process and prosecute criminals and combat gender-based violence (GBV). “It is inconceivable that…

True to form, Cape Town City raised their game against their Soweto hosts Kaizer Chiefs to hold out for a goalless Premiership draw at the FNB Stadium on Wednesday. Not too long ago, Orlando Pirates coach Jose Riveiro said Cape Town teams “love to run an extra mile” when they face the Soweto teams. This season notably City and Stellenbosch have managed to raise the game against the Soweto giants, and invariably come away with the spoils. By the time City ran out onto the pitch against Chiefs on Wednesday, they had failed to win a match in eight consecutive games. The stats for the Chiefs - City game showed that the Mother City visitors were under the whip for most of the way, but City’s low-block tactics saved the…

In a night that celebrated excellence in South African rugby, speedster Cheslin Kolbe etched his name into the history books by becoming the first backline player to win the prestigious SA Rugby Men’s Player of the Year title since 2013. The dazzling awards ceremony took place at the International Convention Centre in Cape Town yesterday evening, where Kolbe’s remarkable contributions to the sport in the 2024 season were duly recognized. Kolbe’s phenomenal performance throughout the year helped the Springboks secure 11 victories out of 13 Tests, culminating in reclaiming the Rugby Championship and Freedom Cup titles. His electrifying pace and unparalleled skill on the field have solidified his status as one of the preeminent talents in world rugby. While mainly a try-scoring winger, Kolbe popped up as a lineout thrower…

The South African government has once again turned to taxation as a means of addressing its fiscal challenges, announcing an increase in the value-added tax (VAT) rate by half a percentage point in 2025/26 and another half a percentage point in 2026/27, bringing the final rate to 16%. This decision, though justified as necessary to fund critical social services, is yet another indication that the economy is caught in a self-perpetuating cycle of stagnation, increasing public debt, and over-reliance on a shrinking tax base. The key question we must ask is whether this increase is asustainable solution or merely a stopgap measure that exacerbates deeper economic challenges. A shrinking tax base and limited options The government has defended its decision to raise VAT by arguing that alternative revenue-raising measures, such…

Daybreak Farms is a going concern, the black-owned poultry producer, said on Thursday after media scrutiny in the wake of the resignation of its CEO, Richard Manzini, tasked with turning around the troubled firm. "Regarding recent media reports, we can confirm that Daybreak is not being liquidated. We value our relationships with all stakeholders, including Shoprite, and appreciate their ongoing support," it said in a statement sent to Business Report. This comes after Business Report earlier this week reported Financial troubles at Daybreak Farms: PIC's silence during management crisis. Media speculation is rife that its main shareholder, the Public Investment Corporation (PIC), allegedly rejected a request for an additional R250 million loan to aid the financially stressed company, leading to Manzini's abrupt exit. However, Daybreak said that Manzini had resigned…

Tempting online adverts offering unrealistic investment returns have flooded social media in recent years. Many of these schemes operate without oversight, exploiting gaps in regulation to appeal to those desperate for rapid financial gain. Compounding this risk is the role of unqualified brand ambassadors and “finfluencers”, who promote these financial products as personal recommendations without any skin in the game. The issue is that social media influencers are typically compensated for their endorsements, but their followers often mistake these promotions for genuine, first-hand financial advice. This creates a dangerous dynamic, blurring the line between unbiased guidance and deceptive marketing. Even if an influencer shares recommendations based on their personal circumstances, advice and recommendations around financial decisions and products might not apply to you as no two people have the…

Exxaro Resources, which appointed Ben Magara as new CEO effective next month, said on Thursday that improvements on the rail and port logistics front have been slow, with the company’s financial performance for year to the end of December 2024 affected by lower domestic offtake of coal despite growth in exports. Magara, who was the CEO of platinum mining company, Lonmin Plc, when the Marikana Massacre happened on August 16, 2012, will become substantive CEO of Exxaro at the beginning of April. He will be taking over from acting CEO Riaan Koppeschaa who now reverts to being finance director. This follows the departure of Nombasa Tsengwa last month after a bitter fall-out with the company. In its year to December, Koppeschaa said the company’s “financial performance had been impacted by…

The long-awaited testimony of Lourentia Lombaard in the trial of missing Joshlin Smith was halted just minutes after it began as the judge adjourned proceedings to allow defence lawyers to consult with their clients. Yesterday afternoon, Lombaard, known as "Renz", took the stand at the Western Cape High Court, which is sitting at the White City Multipurpose Centre in Diazville. The former accused, who turned State witness, was arrested alongside Joshlin’s mother, Racquel ‘Kelly’ Smith, her boyfriend, Jacquen ‘Boeta’ Appollis and their friend, Steveno ‘Steffie’ van Rhyn. Originally from Wolseley, Lombaard is a mother of four children - two live in Worcester and two, aged two and three, reside with their father, Ayanda Litoli, in the Eastern Cape. She admitted that after moving to Saldanha Bay, she became involved in…

There is something satisfyingly retro about Nottingham Forest's pursuit of Uefa Champions League qualification and not just because they are trying to re-create the glory days of the late 1970s. In an age when possession and high pressing have become mantras for many Premier League managers, Forest coach Nuno Espirito Santo is bucking the trend in spectacular fashion. While some sides are easier on the eye, efficiency is Espirito Santo's watchword. In their 28 league games, Forest average 39.4% possession – the lowest of the 20 clubs. They have made 9 355 passes, the lowest total in the top flight. But they have scored 45 goals, conceded just 33 and have 51 points and with 68.6 the average amount of points required to finish fourth in the last five Premier…

It has long been said that the PSL is a ticking time bomb, and this is partly reflected in the clubs that have, scandalously, recently made it onto the Fifa transfer ban list over the past few months. The clubs – Richards Bay and Marumo Gallants, along with embattled Royal AM – are on the list after having been punished because, in most cases, they have not respected players' contracts. Over the years, several clubs have acted with abandon, showing no regard for sound governance. This lack of sound governance is also evident in the way the mother body has conducted their affairs most recently. The Royal AM mess has come about because of the PSL's failure in that department. Had the PSL adhered to their handbook, they would have…