ON THE MONEY
STUART THEOBALD: Nene’s insistence on nontransparency at Public Investment Corporation is off track
The National Treasury is a great asset for all South Africans. Yet sometimes it blunders. Consider the inexplicable opposition it has mounted to increased transparency for the Public Investment Corporation (PIC). Parliament is considering a private members’ bill to amend the legislation that governs the PIC. The bill has various aspects, one of which concerns the transparency of the PIC’s investment portfolio. As has been well covered by the media, several recent examples show very poor investment decision making by the PIC. The list of bad investments includes VBS Mutual Bank, Independent Media, AYO Technology, Erin Energy and S&S Oil Refinery, all of which have lost billions for the PIC’s clients and were made using inexplicable reasoning. Most were valued at unjustifiable amounts and proper due diligence processes were not followed. The bill requires that the PIC publishes a list of all its investments — both those listed on stock exchanges such as the JSE and those unlisted inve...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.