SABC’s bail-out request will be Gigaba’s first test
The SABC is preparing to go, cap in hand, to the Treasury to stave off imminent financial collapse
Newly appointed Finance Minister Malusi Gigaba faces his first major test of fiscal prudence following this week’s ratings agency downgrade. The SABC is preparing to go, cap in hand, to the Treasury to stave off imminent financial collapse. Mayihlome Tshwete, the spokesman for Gigaba, confirmed on Thursday that Communications Minister Ayanda Dlodlo had informed the minister that her department was preparing a "formal request" to the Treasury for a bail-out. "They met yesterday. She [said] she’s going to approach Treasury for assistance," Tshwete said. He would not specify if this would entail an emergency credit line, a guarantee for bank loans, government grants or a combination of all three. "We will look at the application. I don’t want to predetermine what it’s going to say. "But they have said they have a financial problem at the SABC and that she will be requesting Treasury to apply itself to an application." A recent parliamentary inquiry blamed the financial crisis on the SA...
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