EDITORIAL: Jooste asset freeze a good sign

For many operating the sluggish levers of accountability in law enforcement, the prospect of a greylisting always sounded remote. How bad could it really be, they asked. 

Well, thanks to a study for Business Leadership SA by Intellidex, we now know: it could knock between 1% and 3% off the country’s GDP, depending on whether SA is seen to be willing to close the gaps.

Intellidex reckons there’s an 85% chance of the country being greylisted, largely as a result “of the undermining of institutions in the criminal justice system during the state capture era”.

But, the researchers say, “given our view that SA is unlikely to avoid greylisting, the focus must be on minimising its impact”.

This can be done by mounting a credible effort to address the concerns raised by the Financial Action Task Force, so that we can be taken off the greylist quickly.

And who knows, swift action may even lead to a stay of execution. In this context, the SA Reserve Bank’s action in freezing the assets of former Steinhoff CEO Markus Jooste this week are a welcome indication that some institutions do work.