It’s all systems go for the new retirement system, which allows employees to draw from their pension funds without the same penalties as before
The shoe is now on the other foot for southern EU states, with winter approaching and war next door
SA needs a new brand of leaders, says Randall Carolissen
Researchers have found that 96% of global health conferences happen in high- or middle-income countries. Fewer than four in 10 attendees at these gatherings are from poorer nations that have the ...
A new precinct planned around the high court in Joburg is yet another plan to fix the decayed CBD. But can this work, where previous plans haven’t? And can it really lure the lawyers back from ...
Despite talking tough, and likening Eskom to a sieve, finance minister Tito Mboweni has given it a R69bn cash bailout over the next three years. That assistance will be limited to R23bn a year during Eskom’s reconfiguration into three entities, Mboweni said during his maiden budget speech in parliament.
It is notably less than Eskom CEO Phakamani Hadebe would have wanted. For a start, the power utility had asked Cyril Ramaphosa’s government to take over R100bn of its R420bn outstanding debt, given that it cannot independently meet all its financial obligations.
The problem is that the debt attracts annual interest of R45bn, which dwarfs Eskom’s cash generated from operations. Add in the extra R50bn which Eskom must spend on expanding and maintaining power plants, and the utility plunges into a loss.
"Pouring money into Eskom in its current form is like pouring water into a sieve," Mboweni said.
"I want to make it clear: the national government is not taking on Eskom’s debt. Eskom to...
A subscription helps you enjoy the best of our business content every day along with benefits such as articles from our international business news partners; ProfileData financial data; and digital access to the Sunday Times and Sunday Times Daily.
Already subscribed? Simply sign in below.
Questions or problems? Email firstname.lastname@example.org or call 0860 52 52 00. Got a subscription voucher? Redeem it now
Would you like to comment on this article? Register (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.