Public Enterprises Minister Pravin Gordhan is expected to make key announcements with regard to cash-strapped state-owned arms manufacturer Denel. Gordhan was meeting Denel’s board of directors on Monday. Denel has been experiencing severe liquidity problems, which resulted in the delayed payment of workers’ salaries. The government had to issue the company with an emergency loan guarantee of R580m to ensure that it paid suppliers and its 4,000 staff. The company has since been working on a plan with the Department of Public Enterprises and the Treasury to address its issues. In March, a few days after Gordhan was appointed public enterprises minister, Denel board chairperson Daniel Mantsha resigned. Mantsha has been implicated in allegations of state capture. No replacement has been announced yet. In his first state of the nation address after former president Jacob Zuma’s resignation, President Cyril Ramaphosa spoke on configuring the way state-owned enterprises (SOEs) operated an...
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