LETTER: Here’s how it should be done, Mr President
Cyril Ramaphosa must stop pussy-footing around the unions and use the state pension fund surplus to rescue Eskom
Duma Gqubule’s latest column (https://www.businesslive.co.za/bd/opinion/columnists/2019-08-06-duma-gqubule-there-are-many-ways-to-kill-eskoms-debt/) refers. I understand that most stable and financially well-respected democracies (actually, their taxpayers) fund their state employee pension liabilities at least partly on a pay-as-you-go basis. Fully funded or actuarially overfunded ones like SA’s are a rarity.
It should therefore not create alarm and despondency either at home or in the cosmos of the ratings agencies and markets if a chunk of Eskom’s debt, sufficient to leave its split-up components with manageable amounts, were to be repaid by using the Government Employees Pension Fund surplus...
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