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Photo: Adobe StockDuring Tito Mboweni’s 60-minute Mid-term budget speech, the rand value nosedived b 2.5% on Wednesday afternoon. The Finance Minister, given the unenviable task of balancing South Africa’s books, failed to give too many concrete details on Eskom’s debt relief and interventions on the unemployment crisis.Mid-term budget speech creates a “shock-market”Things got off to a shaky start, as the R15 : $1 barrier was swiftly approached…Tito Mboweni speach has already taken Rand to R14.85 against Dollar from R14:60 🙆🏿♂️🙆🏿♂️🙆🏿♂️🙆🏿♂️— Starona (@RTisane) October 30, 2019 Why has the rand value dropped on Wednesday 30 OctoberWith joblessness at an 11-year high…
Pixabay.comMost of the time, you’re measuring yourself against your peers, trying to figure out if you’re keeping up (launching a career, having kids, buying a house…) or falling behind wherever you’re supposed to be.Funny thing is, those lifetime milestones don’t have a fixed timeline. Everybody’s situation is different, so while one person might be married with children in their early 20s, others might choose to travel, study or focus on their career instead. It’s all basically down to what you want out of life! But regardless of what your life’s goals are, there’s one curve that you don’t want to…
Photo: PixabayThere are fewer currencies which operate on a more volatile basis than ZAR. The rand value has been on a rollercoaster ride in the past seven days, which has concluded with a shock surge against the US dollar.The South African currency had plummeted through the floor on Wednesday, after Tito Mboweni’s Medium-term budget speech pulled no punches and painted a glum economic future for South Africa. Growth forecasts for the year is down to just 0.5%, and you know things are bad when ministers suggest cutting their own salaries and luxury items.Exchange rate: Dollar to rand value on Monday…
Canva.comThis Rand report is brought to you by Sable InternationalA horrific mid-year budget from South African Finance Minister Tito Mboweni caused the Rand to nosedive against all major currencies last week. With South Africa’s deficit rising astronomically during the year, we now expect to see a massive rise in national debt in the years to come.Mboweni cut South African growth forecasts just days before the critical Moody’s credit review on Friday. Fortunately for South Africa, Moody’s (who have given the country the benefit of the doubt on numerous occasions) avoided a downgrade to junk status. The credit rating agency altered their…
Photo: @PresidencyZA / TWPresident Cyril Ramaphosa says he is encouraged by the decision of the Ford Motor Company to work with government to establish the first Tshwane Automotive Hub at the Special Economic Zone.Tshwane Automotive Hub: What we know about the new additionThe automotive hub, which is part of the expansion of the OR Tambo Special Economic Zone (SEZ), will be developed through a joint partnership between the Department of Trade and Industry, Gauteng Provincial Government and the City of Tshwane.What are Special Economic Zones?Broadly, Special Economic Zones are an initiative of government, aimed at repositioning the country in the…
(Photo by GIANLUIGI GUERCIA / AFP)Eskom on Tuesday said it noted with disappointment the decision by rating company, Moody’s Investor Services to downgrade the long-term corporate family rating (CFR) of Eskom to ‘B3’ from ‘B2’.Moodys also revised the zero-coupon Eurobonds rating to ‘B3’ from ‘B2’ in line with the CFR and the global medium-term note (GMTN) programme and the senior unsecured GMTNs of Eskom were downgraded to ‘(P)Caa1/Caa1 from (P)B3/B3. The outlook remains negative. Moody’s has simultaneously affirmed the Baa3 rating on Eskom’s government-guaranteed notes.Read: “Load shedding at short notice” possible before ThursdayEskom: Our electricity supply system remains fairly constraint“We acknowledge the…
Canva.comNone of the 31 men that represented South Africa at the World Cup Rugby in Japan got there by going on a short course and then stepping out onto the global stage. It took them years of dedication, the right mentors and a bit of luck that they were blessed with talent to compete at the highest level.Why is that so many believe that they can register for a forex trading account and become millionaires overnight? The truth is that social media is littered with people holding wads of cash and posing next to flashy cars and very few of…
Canva.comThe concept of co-working is not new – even in South Africa. But the benefits of this way of working may not be fully comprehended yet. And despite the headwind a company like WeWork has recently received, the South African model of sharing working space is taking off. Look at Workshop17, for example.Why it makes sense in South AfricaWhen you consider the high cost of office space in South Africa, particularly in sought-after areas, it makes economic sense to alleviate that expense. The fluidity of the South African economy means that employers do not want to tie themselves down by…
Canva.comThis Rand report is brought to you by Sable InternationalWeaker than expected local data (consumer confidence and producer manufacturing data released on Tuesday) weighed down the Rand’s upward trend. This, together with the return of a bearish outlook on emerging markets (EM) caused the ZAR to trade mixed on Wednesday as renewed uncertainty regarding the outcome of trade talks between the US and China reared its head again.This trend reversed on Thursday after China and the US indicated that they will look at phasing out trade tariffs. EM currencies buoyed as risk appetite returned to the markets. This caused the Rand…
Canva.comPositive news also came in the form of a further interest rate cut by the US Federal Reserve and the UK nearly passing a new Brexit deal. In South Africa, Resources surged on the back of a weaker rand following a disappointing Medium-Term Budget Policy Statement. The broad-based global risk-on sentiment helped boost emerging markets, with the local bourse closing the month in the black in spite of Moody’s downgrading SA’s credit rating outlook from stable to negative.South AfricaThe rand fell 2.4% against the US dollar, its sharpest decline in more than a year, after Finance Minister Tito Mboweni delivered…