Star 2024-04-30

Minister of Forestry, Fisheries and the Environment, Barbara Creecy, has said the newly-passed Climate Change Bill will ensure a just transition and maximise the opportunities afforded to the economy by the global shift to a green economy. This comes after the National Council of Provinces (NCOP) passed the bill last week. Creecy said yesterday the bill was a landmark response that will provide the much-needed legal framework to regulate activities that contributed to climate change and ensure an effective response in all spheres of government. “Since 2011, when we outlined South Africa’s response to climate change in our National Climate Change Response White Paper, we have been putting in place the instruments for an integrated response,” Creecy said. “Now, this bill will integrate all of these components into a robust…

Stocks on the JSE surged to a four-month high yesterday driven up by top-performing resource-linked stocks and financials, while the rand also firmed strongly to a two-week high. The JSE all share index rose more than 1.1% to 76 249 index points, its highest since late December 2023, tracking major global peers. MTN and Anglo American Platinum rose more than 4% while Discovery, South32, and Super Group were more than 3% higher yesterday. Traders have been monitoring more corporate earnings while awaiting the US Federal Reserve’s policy decision later this week, as well as crucial monthly US job figures. Meanwhile, the rand managed to gain back lost ground during trade on Friday in line with the softer US dollar. The rand strengthened by 0.7% to R18.68 against the dollar by…

Oxford Economics Africa has said that the outcome of South Africa’s key election on May 29 was unlikely to jolt the rand, though inflation will creep up to 5.2% post the poll as a result of higher international oil prices and the El Niño-induced drought. The El Nino drought conditions have afflicted and negated food productivity in much of Southern Africa, with neighbouring countries such as Zimbabwe, Malawi and Zambia worst affected. Although Africa – largely a surplus producer of grain – is likely to be less affected, countries such as Zimbabwe have already started to count the cost of the drought. Construction companies are also expecting that lesser government spending on infrastructure development to focus on humanitarian assistance will hit their order books for the current year. In a…

LOCAL farmers have remained cautious about the 2024/25 winter crop season after witnessing the damage of unfavourable weather conditions during the 2023/24 season. This is according to Agricultural Business Chamber (Agbiz) chief economist Wandile Sihlobo as farmers of wheat, barley, canola, oats, and sweet lupines appeared to lack appetite to plant. The farmers’ intentions-to-plant data released by the Crop Estimates Committee last week signalled a 3% year-on-year decline in South Africa’s 2024/25 winter crop plantings to 798 800 hectares. Sihlobo yesterday said the decline in farming was primarily in wheat, which was down 3% year-on-year to 520 200 hectares. “The barley plantings could also fall 5% year-on-year to 102 000 hectares, and the oats plantings could be at 20 500, down 26% year on year, and…

RAUBEX Group said yesterday that headline earnings per share (Heps) of between 451.7 cents and 491c was expected for the year to February 29, representing an increase of between 15% and 25%. The group said in an updated trading statement yesterday the full-year results, expected to be released on May 13, would be based on better-than-expected results achieved in February 2024 across all four divisions, as well as finalisation confirmations on a number of outstanding claims submitted. On March 4, in an initial trading statement, Raubex predicted earnings per share and Heps would be between 0% and 10% higher. It said at that time all four divisions had received tender awards from a diversified client base, resulting in a solid order book despite unfavourable macroeconomic conditions. Yesterday, the…

DR IQBAL Survé, the chairperson of Independent Media and Sekunjalo, says in his experience of staving off bank account closures for the Sekunjalo group on the basis of reputational risk, the banks don’t care if allegations are true or not. This as there is currently no just nor equitable appeal mechanism in South Africa available as regards bank account closures on the basis of reputational risk. Even if there is no evidence of any wrongdoing, collusion or corruption, your bank account can be closed due to case law and the contract aspect between bank and client. Talking about reputational risk in an interview yesterday, Survé said: “The banks have not defined reputational risk. When they presented it in court papers they referred to media articles in the Mpati Commission. “The…