Zuma Must Give Gordhan Recall Reasons

The High Court in Pretoria has given President Jacob Zuma until next Thursday to submit all documents containing his reasons for dismissing former finance minister Pravin Gordhan and his deputy, Mcebisi Jonas. Initially, he cited an alleged fake intelligence report claiming Gordhan and his deputy were not acting in the best interests of the country and were trying to effect regime change.

Source : https://goo.gl/UBMcrp

Pioneer Profits Drop 40-45%

Pioneer Foods has cautioned its shareholders to expect a decline in earnings for the six months to end March. The company said it anticipated that its operating profit for the period to ease between 40 percent and 45 percent, down from R1.24 billion reported in 2016. The group said it attributed the decline to an impact of the Phase1 B-BBEE share-based payment charge and merger and acquisitions costs during the period.

Source : https://goo.gl/o5lJtP

China Launches First Major Commercial Jet

China’s first large jetliner has successfully completed its maiden flight, a key moment in the country’s push to challenge the U.S. and Europe as a global manufacturer. With the flight, China joins the ranks of the few nations that have developed homegrown large airliners: the U.S., Russia, Brazil, Canada, the U.K., France and Germany. Made by the Commercial Aircraft Corporation of China (Comac), the 168-seat C919 is roughly the same size as Airbus’s A320 and Boeing’s 737-800, which are the most popular airliners in the world.

Source : https://goo.gl/7tBFG2

Gauteng To Spend R46bn On Infrastructure Projects

The Gauteng provincial government will spend R46-billion on infrastructure over the next three years, Premier David Makhura said on Thursday. Makhura said it was important to note that the Gauteng Infrastructure Master Plan estimates that R1.8-trillion is needed to meet the province’s infrastructure needs over the next decade-and-a-half. Makhura pointed out that between 2013 and 2016, the Gauteng government spent R30-billion on infrastructure project developments.

Source : https://goo.gl/2VIx1S

Mugabe Defiant At WEF

Mugabe was a panellist on a debate about fragile states in the main hall at the International Convention Centre that included diverse voices from former AFDB head Donald Kaberuka to Hollywood actor Forest Whittaker. The first question went to Mugabe about whether he thought Zimbabwe, with its economic troubles, is a fragile state. “We are not a poor country, you can’t call us a fragile state, you can call America a fragile state,” says Mugabe to chuckles from the hundreds in the audience. Mugabe pointed to his country’s vast resources, 14 universities and 90 per cent literacy rate.

Source : https://goo.gl/XdcPxj

Oil Price Collapses Below $45

Oil slid below $45 a barrel for the first time since OPEC agreed to cut output in November as US shale confounds the producer group’s attempts to prop up prices. Prices are still more than 50% below their peak in 2014, when surging shale output triggered crude’s biggest collapse in a generation and left rival producers such as Saudi Arabia scrambling to protect market share.

Source : https://goo.gl/wIinzC

CurrenciesRand/USD 13.64 – Rand/GBP 17.63 – Rand/EUR 14.98

 

 

 

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Simplified Sona Breakdown.

Beyond the drama, Zuma actually said some things which we need to note. These are the things which he plans to do in the coming year. Zuma says the economy will grow 1.3% this year and he also said Eskom will sign the outstanding power purchase agreements for renewable energy in line with the procured rounds. They have been delaying this. Govt plans to create 6 million new work opportunities in state-run public works by the end of 2019. Importantly the number of  R32 billion. That is how much government has shifted around in the budget to support students. Zuma also switched from “A good story to tell” to “radical economic transformation” as a buzz word. Remains to be seen if govt delivers.

Trump Commits To One-China Policy

Donald Trump reaffirmed the U.S.’s long-standing support for the ‘One-China’ policy in his first phone call as president with Chinese counterpart Xi Jinping. “The two leaders discussed numerous topics and President Trump agreed, at the request of President Xi, to honor our ‘One-China’ policy,” the White House said in a statement yesterday.

Sekunjalo Launches R500m Impact Fund

The Sekunjalo Investment Group is launching a R500 million impact fund to boost entrepreneurship, shore up renewable energy initiatives and support women-owned businesses. International investors will be invited to join the fund, which is immediately seeded with R500m by Sekunjalo, and is projected to grow exponentially, and is expected to reach R2bn within a year of being launched.

MTN To Acquire 49% Of Iranian Govt ISP

MTN is near an agreement with the Iranian government to acquire a 49% stake in a state-owned internet provider. MTN already owns a 49% stake in Tehran-based mobile carrier Irancell Telecommunication Services and has been repatriating some of the $1 billion (R13.44 billion) that had been trapped in Iran before restrictions were removed.

ANOTHER Kuga Goes Up In Flames

Johannesburg businessman‚ Warren Krog‚ says his guardian angels worked overtime on Thursday. Krog was en route to work when he noticed smoke coming from the back of his 2013 Ford Kuga. Krog’s Kuga is the 45th to have been destroyed by fire on SA’s roads since Reshall Jimmy burnt to death in his in December while on holiday in Wilderness in the Western Cape. At least nine Kugas have caught fire since the start of the year.

Group 5 Takes A Pounding

Group Five shares took a hammering on the JSE on Thursday after the listing construction and engineering group disclosed it expected to report a fully diluted headline loss a share of between 300c and 320c for the six months to December. The group attributed this to a combination of its R225 million socio-economic contribution in terms of the agreement reached with the government to implement a programme of initiatives to accelerate transformation of the construction sector and a difficult period for the group’s engineering and construction cluster.

Currencies And Stuff

Oil 55.77 – Rand/USD 13.37 – Rand/GBP 16.67 – Rand/EUR 14.24

Absa Report Drama. Did Thuli Mess Up?

The Public Protector’s leaked interim report that recommends Absa pay back the SA Reserve Bank (Sarb) an outstanding interest of R1.225bn is being ripped apart by Johann Rupert and apartheid era reserve bank governor Chris Stals. The argument that Absa owes SARB interest on the deal apparently hinges on a quote by former Sarb governor Chris Stals, who said Absa agreed to pay back the interest. Stals has however said he was misquoted and that Absa met its obligations in 95. Rupert on the other hand called the report a work of fiction and denied any wrongdoing. Meanwhile, the public protector has opened a case with the police over the leaking of the interim report. Thuli Madonsela may have a lot to answer to if it turns out to be true that she messed up this report.

Shoprite Increases Turnover By 14%

The Shoprite Group increased its turnover by 14.0% from R62.5 billion to R71.3 billion for the six months to December 2016. Shoprite’s non-South African supermarkets recorded sales growth of 32.3% assisted by higher inflation and achieved in the face of low commodity prices and foreign exchange shortages in certain countries. Growth on a like-for-like basis was 14.2%. The Group’s furniture division grew sales by 10.0% for the period.

Credit Regulator Takes Standard Bank To Court

The National Credit Regulator (NCR) is seeking a high court order to stop banks from unilaterally taking money from customers’ savings accounts to settle outstanding balances on their credit agreements. The regulator is seeking an order declaring that provisions of the National Credit Act supersede common law “set-off”, whereby a consumer’s debt is satisfied by setting it off against credit held by that consumer with the bank, such as in a savings account.

Theresa May Speech Leads Pound Higher

Prime Minister Theresa May pledged to pull Britain out of the European Union’s single market while staying inside parts of its customs union, saying the UK parliament will get a vote on the final Brexit deal. The prime minister didn’t say what would happen if the parliamentary vote is lost. At that point, it might be impossible to reverse the Brexit process, meaning the UK found itself outside the EU without any agreement with the bloc. That outcome would be a disaster for the UK.

British American Tobacco Buys Rest Of Reynolds

BAT has announced it will buy the 57.8% of Reynolds American it does not already own for $49.4 billion after agreeing terms with an independent Reynolds committee. The deal will consolidate its ownership of Newport, Kent and Pall Mall, which Reynolds – the second largest cigarette maker in the US – produces.

China Pledges $40bn Investment In Nigeria

Nigeria has ordered Taiwan to move its trade mission from the capital, Abuja, to the commercial hub, Lagos, following a visit by the Chinese foreign minister during which his government pledged to invest $40 billion into infrastructure in Nigeria. Interesting how other African countries are treating the One China policy after the D.A issue.

Currencies & Stuff

Oil 55.57 – Rand/USD 13.53 – Rand/GBP 16.65 – Rand/EUR 14.43