5 important things happening in South Africa today

Here’s what is happening in and affecting South Africa today:

• Economic recovery: A new discussion document from Economic Research South Africa outlines what needs to be done in the country to help grow the economy. The group’s proposals are for deep policy reform, including the unrestrained roll-out of renewable energy production, concluding and implementing regional and continent-wide trade agreements, direct labour market reforms to lower hiring and firing costs and the relaxation of immigration restrictions, among others. [Daily Investor]

• Electricity hikes: Eskom plans to apply for a 32% tariff increase for the 2023/24 financial year in another attempt to persuade the energy regulator Nersa to let it charge cost-reflective rates. The power utility has faced much higher costs in the face of continuous load shedding – specifically diesel costs to keep its turbines going. The application is under consideration by Nersa. Eskom recently proposed a complete tariff overhaul to better reflect the changing energy landscape. [News24]

• Please call me: Telecoms giant Vodacom has again entered the fray over the Please Call Me saga, now taking inventor Nkosana Makate to court to amend a previous ruling. Vodacom offered Makate R49 million for the invention, but his legal team challenged this. Vodacom was subsequently ordered to provide Makate with various contracts related to other service providers, but the company could only supply a few of these. It wants the court to change the wording so it cannot be held in contempt. [TimesLive]

• State of emergency: Treasury experts say South Africa needs to declare a state of emergency over its procurement processes, as this is the only way officials can make the necessary changes to reform the sector. Procurement is one of the biggest areas for fraud and corruption in government – and if it is not improved, the country will continue to ‘hit potholes’, they said. South Africa’s public procurement system is decentralised, with more than 1,000 procuring entities, including national departments and municipalities. [Daily Maverick]

• Markets: South Africa’s rand weakened on Thursday, as the US dollar held near recent peaks after traders continued to bet that the US Federal Reserve will be aggressive next week in its battle to curb inflation. Economists say that the Fed will likely remain highly aggressive until data shows a few consecutive months of falling core inflation and signs of a loosening labour market. Emerging-market currencies, as a result, will struggle for traction. On Friday, the rand was trading at R17.59/$, R17.57/€ and R20.15/£. Brent crude is trading at $91 a barrel. [Reuters]