debt | SA Radio .com

Government of Zimbabwe owes SAA R880 million

Posted on 12/12/2019 Leave a comment

SA Airways is likely to lose a lot of money due to Zimbabwe’s default and disputes.

According to the latest information, Zimbabwe are only willing to pay 5% of the R880m SAA claims the Zimbabwe government owes.

The amount is apparently due for ticket sales, but the Zimbabwe Reserve Bank’s Monetary Committee refuses and rejects most of the debt.

A Zimbabwean spokeswoman says the government is not in a financial position to pay more, nor can it pay for fuel and grain imported.

SAA spokeswoman Thali Thali did not respond after the media polled him about what SAA is now going to do to recover the much needed funds.

SAA’s poor management emerged when the entity had to cancel its flights and was eventually placed under administration because the ANC government no longer had the money to feed the entity.

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ANC piggy bank is empty – ANC regime owes municipalities R165 billion

Posted on 20/11/2019 Leave a comment

After a thorough investigation, it was found that the treasury of South Africa’s is indeed empty for a long time. It has been discovered that the state’s owes amount municipalities approximately R165 billion.

To make matters worse, it must be taken into account that the amount is valid for up to the end of June this year.

Economic advisers, on the one hand, explain why the municipalities cannot pay their Eskom and water bills.

Opinion polls say municipalities have the full right to cut off state power at the local municipal level.

The opinion was expressed that the ANC would have to start the president by getting his own house in order and meeting his obligations and paying municipalities what they owed, as this could in turn lead to relief at Eskom.

Salga confirmed that municipalities owe Eskom about R25 billion, plus R15 billion in water consumed.

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ANC regime’s debt to SA municipalities exceeds R1bn

Posted on 07/11/2019 Leave a comment

Several millions of Rands debt is outstanding with municipalities across SA – ANC regime debt exceeds R1 billion

The ANC government’s poor performance, especially in the economic and financial sphere, is also highlighted in its inability to settle its debt to municipalities.

The ANC’s Minister of Public Works, De Lille, has acknowledged that the state owes more than R1 billion to municipalities.

The irony is that some of the municipalities were placed under administration while the state did not fulfill its obligations to the municipalities.

There are apparently some of the municipalities that are struggling, partly because the state’s obligations to them are not being met, which leads to unauthorized transactions with the local council.

Unconfirmed reports state that De Lille has liaised with more than 60 municipalities to determine the amounts owed, which is believed to total R1 billion. The other 19
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Eskom which is battling with R441 billion debt, won’t be privatized – ANC-regime’s plan to save the power supplier from ruin disappointing

Posted on 31/10/2019 Leave a comment

Public Enterprises Minister Pravin Gordhan yesterday unveiled the government’s latest blueprint to kickstart Eskom, which proposes major shifts in the ailing entity’s business model. Politicians, as well as political analysts and financial experts are disappointed in the plan, whose content can be vague and probably poorly implemented, as announced by the minister. Not only did he disappointed South Africa but also the credit rating agencies with his “plan” to save the power supplier from ruin.

Experts point out that the ANC will not privatize Eskom, because it is then out of their hands, and the fear exists that hundreds of ANC members will be fired because it is an overall overpopulated workforce.

Gordhan recommended, among other things, that the various power plants be divided into groups and have to compete with each other over who can generate the cheapest power, but experts say it will bring no harm to the entity’s financial position.

The turnaround plan
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ANC gives millions to Youth League even though they themselves are technically bankrupt according to Treasurer General

Posted on 16/10/2019 Leave a comment

The wastage of money by the ANC reached another “highlight” with the announcement that millions of rands had been given to the liquidated Youth League to write off their debt.

The amount involved is and will probably remain unknown but there is talk of “millions”. The ANC will also further fund the Youth League so that they can hold their congress in March 2020.

No indication has been provided of where the money will come from as the ANC itself is technically bankrupt – according to Zweli Mkhize, the ANC treasurer-general.

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Soweto owes Eskom more than R17 billion, still receives free power – culture of non-payment has now become a legacy of the ANC struggle

Posted on 14/10/2019 Leave a comment

According to a report by the Gauteng Department of Cooperative Governance and Traditional Affairs (CoGTA) submitted to the Gauteng legislature’s CoGTA committee, Soweto owes Eskom more than R17 billion, which is half of the country’s debt to Eskom.

The information came to light last month when a FF Plus spokesperson, Amanda de Lange, announced it by way of a statement.

According to De Lange, “the default culture of electricity consumers in Soweto is probably the biggest cause of Eskom being forced to its knees”.

Soweto’s default has been going on for years and politicians have been trying unsuccessfully to persuade power consumers to pay portions of their debt. Threats to cut the power supply also serve no purpose. Residents insist the ANC promised free electricity and water to voters in their election pledges. The culture of non-payment has now become a legacy of the ANC struggle.

Meanwhile, the national power supply is struggling to survive financially an
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Eskom’s municipal debt rises to R23.5 billion – Lets face it! Management and board of directors do not possess management skills to run this entity

Posted on 14/10/2019 Leave a comment

Eskom’s inability to function effectively has again emerged with the latest financial information released.

Municipalities already owe Eskom R23.5 billion, according to the report released by Minister Pravin Gordhan.

The disclosure shows that the debt to be paid to Eskom is still rising, and is a sign that the entity is not prepared to set foot and cut off municipal electricity supply if they fail to settle their accounts clockwise.

In March this year, Gordhan reported that municipal debt to the power supply stood at R20bn, but only increased to R23.5bn 5 months later.

This is clear evidence that Eskom’s management and board of directors do not have the skills to manage the entity, informed sources said.

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Eskom – in return for R59bn bailout from National Treasury, Eskom must recover Soweto, municipal debt

Posted on 11/10/2019 Leave a comment

National Treasury is set to impose 28 conditions on Eskom in return for a R59bn lifeline to keep the cash-strapped power utility afloat and enable it to pay interest on its mounting debt burden.

Treasury updated Parliament’s appropriations oversight committee on the conditions attached to an appropriations bill on Wednesday. The bill, which has not yet been passed by Parliament, grants R59bn to Eskom over two years. This is in addition to R69bn over three years announced by Finance Minister Tito Mboweni in his maiden February budget.

In addition to regular and detailed reports of all its finances, Treasury has stipulated the utility needs to recover all debt owed to it by errant municipalities, national department and corporations, including Soweto.

“Eskom cannot provide electricity and not collect debt,” Treasury’s acting director-general of the assets and Liabilities Tshepiso Moahloli told MPs. “Members, we know that between Soweto and municipalities –
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Eskom drowning in debt, will need R69 billion to service its overflowing liabilities

Posted on 10/10/2019 Leave a comment

Eskom chairman Jabu Mabuza during the power utility’s annual financial results presentation on November 28, 2018 in Johannesburg, South Africa. During the presentation, it was revealed that Eskom’s debt service costs have doubled in a one year to R45bn.

Jabu Mabuza addressed the Portfolio Committee on Public Enterprises on Wednesday and announced Eskom is owed R20 billion by municipalities.

The chief executive officer announced that the power utility is in a critical condition as government’s financial support only addresses short-term liquidity, and Mabuza revealed that these issues will be detailed in the progress report, National Treasury and the Minister of Finance are currently working on.

Mabuza noted that there is a need in establishing an energy plan for the power utility, as the country’s condition is critical in an ever-changing energy landscape; he stated that the annual report will be made public and it will prove Eskom’s financial perfo
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ANC regime threatens financial survival of SA, Government debt increases every day

Posted on 26/09/2019 Leave a comment

The ANC government is extremely dangerous and threatens the financial survival of South Africa, as its eagerness to lend remains unsaturated.

This is the opinion of an economic adviser following the SA Reserve Bank’s announcement that government debt is rising faster than provided by any institution.

The government’s total loan debt has risen to a breathtaking level of just over 58% of the annual budget.

Experts point out that South Africa has now reached the point where Moody’s can no longer turn its head, and even if that were to happen, it is an undeniable reality that the country has landed deep into the abyss of being subjected to junk status, and may not be coming out of it again soon.

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