Moody's Investors Service offices in New York, the US. Picture: TALAIE/BLOOMBERG
Moody's Investors Service offices in New York, the US. Picture: TALAIE/BLOOMBERG

The DA has been at the forefront of calls over many years to release the fiscus from the burden posed by bankrupt state-owned enterprises (SOEs) such as SAA and to privatise Eskom’s power plants, along with the introduction of a significantly more liberal regime governing independent power producers (IPPs).

The Moody’s Investors Service credit rating downgrade now underscores the need for this to happen. It is time for government to wake up — no attempt to hide behind the effects of Covid-19 will suffice. If fact, liquidation and privatisation will free up capital to assist in fighting the pandemic.

Time has run out. It’s official: our investment status is now junk.

Ghaleb Cachalia, MP
DA shadow public enterprises minister

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