Pietermaritzburg Chamber of Business

Pietermaritzburg Chamber of Business - Business Skills

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STATE TURNS SCREW ON 'CRIMINALly' ACCUSED extortionists

Two of five men charged with extortion at a bridge construction project in the KwaXimba ward of the Msunduzi Municipality have prior convictions, the Camperdown magistrates court heard during their bail hearing. The men, Andile Jiyane, Elias Phetha, Nhlanhla Makhathini, Sibonelo Khanyile and Thabani Nkomo were arrested last week by the provincial reaction task team to curb the construction mafia after the suspects allegedly “induced fear” that no work would continue unless they were hired. It is not clear which of the accused have prior convictions for rape and assault. At the bail hearing, defence lawyer Kevin Chetty argued they are not a flight risk, but the state maintained their release could disrupt public order. (SOURCE: BDLive)

Click here for an eNCA interview with PMCB CEO Melanie Veness on the extortion scourge.

SAPPI ROOTS FOR MEDICINAL PLANTS IN ARBOR MONTH

Dr Nicky Smith inspecting warburgia salutaris seedlings at the Sappi Shaw Forestry Research Centre and KZN traditional healers at a function to promote the tree’s conservation.

Sappi Southern Africa is deepening its investment in the medical trade by expanding the conservation of vulnerable trees threatened by illegal harvesting. In celebration of Arbor Month in September, Sappi highlighted the success of its Rare, Threatened, and Endangered Species (RTES) programme that is playing a critical role in the preservation of the threatened pepperbark tree Warburgia salutaris. Sustainability manager Giovanni Sale paid tribute to the Sappi Shaw Forestry Research Centre near Howick for its role in developing new methods to secure better germination and propagation of the tree and set the scene for phase two - to extend the support to other valuable medicinal plants. These include Prunus africana (African Cherry), Ocotea bullata (Black Stinkwood), Vachellia xanthophloea (Fever Tree), and Curtisia dentata (Assegai Tree). Sappi is collaborating with several institutions, including the South African National Biodiversity Institute nursery, Agricultural Research Council, Kruger National Park and Ezemvelo KZN Wildlife to further its conservation work.

modest INTEREST RATE CUT TO IGNITE PROPERTY MARKET

Anticipation of an interest rate cut is building ahead of the Reserve Bank’s monetary policy committee later this month. While a modest 0.25% reduction would bring the repo rate down to 8%, such a move would reverberate throughout the property sector by boosting homebuyer confidence, stimulating market activity and prompting more competitive offers.


	Today in History

1980: The death sentence pronounced on James Mange for treason in the Pietermaritzburg High Court was commuted to 20 years' imprisonment by the Bloemfontein Appeal Court.

Elsewhere, in 2001, four co-ordinated suicide attacks by Al Qaeda on American targets saw two planes crashing into the twin towers of the World Trade Center, one into the Pentagon building, and the fourth plane, in a field in Pennsylvania.


	News worth knowing

NON-COMPLIANT BUSINESSES ON RADAR IN GREY-LIST EXIT BATTLE

The Financial Intelligence Centre (FIC) has thrown down the gauntlet to the private sector to actively support compliance with efforts to combat money laundering, terrorism financing, and other threats to the global financial system or face sanctions in South Africa’s bid to exit the Financial Action Task Force (FATF) grey list by June 2025. There is a possibility of extending the grey-list exit date to October after the country has addressed 22 key issues, with 14 remaining. The government aims to resolve between eight and 10 issues in the current cycle. Challenges include demonstrating the effectiveness of the criminal justice system and compliance from accountable institutions.

Of the 30 institutions inspected by the FIC, only four passed. Non-compliance sanctions were issued, ranging between R20 000 and R7.7 million. Non-compliance was mainly due to the lack of filing risk management compliance programmes timeously, the FIC said. (SOURCE: Moneyweb)

… AS BANKS PULL PLUG ON CROSS-BORDER EFT PAYMENTS

South African banks have ceased to process EFT payments within the Common Monetary Area (CMA) — which includes South Africa, Namibia, Lesotho, and Eswatini — to comply with anti-money laundering standards. Cross-border payments will now be processed through the Southern African Development Community real-time gross settlement system, used for both large and low-value transactions. The move aligns with Financial Action Task Force (FATF) recommendations, aiming to exit the FATF greylist by 2025. Debit orders must now be initiated from accounts within their respective CMA countries to enhance compliance and protect customers. (SOURCE: Bizcommunity)

MANUFACTURING OUTPUT PERKS UP IN JULY

In July 2024, South Africa's manufacturing production rose by 1.7% year-on-year, driven by gains in five of the ten manufacturing divisions, with food and beverages increasing by 9.5% and metals and machinery up by 5.2%. However, the motor vehicles and transport equipment division saw a 12.1% decline. Seasonally adjusted manufacturing production rose by 2.1% compared to June but dropped 0.5% over the three months ending in July. Manufacturing sales grew 1.6% in July but fell 0.2% over the same three-month period. The iron, steel, and machinery division contributed positively, while motor vehicles and food and beverages dragged sales down. (SOURCE: Bizcommunity)

FIVE-TIME OVERSUBSCRIBED BOND SALE NETS R19 BILLION

South Africa raised $1.1 billion (about R19 billion) from a bond sale, receiving strong demand at its weekly auction. Primary dealers placed orders worth R19.02 billion, over five times the R3.75 billion of securities offered. The bonds included fixed-rate securities maturing in 2033, 2038, and 2053, with yields ranging from 9.97% to 11.05%. South African bonds have outperformed emerging market peers, returning 16.4% in Dollar terms. The National Treasury aims to lengthen its debt maturity profile, reduce reliance on short-term instruments, and manage refinancing risks to meet increased borrowing needs due to slow economic growth. (SOURCE: Bloomberg)

… AS RAND IS POISED FOR MORE GAINS

The Rand is projected to perform well for the rest of 2024, with estimates ranging from R17.80 to R18.30 against the US dollar, according to Bianca Botes from Citadel Global. The Rand ranks third among 23 emerging market currencies. Its strength is influenced by factors like the formation of a Government of National Unity, policy reforms, and global events, particularly US dollar performance. The Rand may gain more ground if global risk sentiment improves, and if domestic challenges such as electricity stability and logistics issues are addressed. Rising commodity prices could also benefit the rand. (SOURCE: Bizcommunity)

ATTACQ OFFERS 19% DIVIDEND IN WAKE OF ‘STRATEGIC’ SUCCESS

Attacq reported a 20% growth in distributable income for 2024, with dividends increasing by 19% to 69c per share. CEO Jackie van Niekerk credited strategic execution, including the R2.7 billion Waterfall City deal with the Government Employees Pension Fund (GEPF) and acquiring full ownership of Mall of Africa. The company repurchased 5.4 million shares and increased its stake in Waterfall Junction to 50%. Attacq expects distributable income to grow by 17%-20% in 2025. (SOURCE: SENS)

CAXTON SLAPPED WITH CENSURE OVER IMPACT BREACHES

The JSE has publicly censured Caxton and CTP Publishers for issuing two Sens announcements in 2022 that criticised Mpact’s management. As Mpact’s largest shareholder, Caxton claimed the information was price-sensitive and needed to be shared with shareholders. However, the JSE found that the announcements did not comply with its regulations, as the information was not relevant company announcements or price-sensitive as defined by the Listings Requirements. Caxton, which was not legally obligated to disclose the information, later retracted the statements. The JSE imposed the censure for this regulatory breach. (SOURCE: SENS)

NAMIBIA SIGNS CHINESE DEAL FOR 100 MW SOLAR PLANT

NamPower, Namibia's state-owned power utility, has signed a contract with two Chinese firms to construct the country’s largest solar power plant. The 100 MW plant will boost Namibia's current power capacity of about 500 MW, reducing reliance on electricity imports from Zambia and South Africa. Funded 80% by Germany's KfW development bank and 20% by NamPower, the project costs 1.4 billion Namibian Dollars . Construction will take 18 months, with commercial operations expected by the second quarter of 2026. The plant aims to stabilise electricity tariffs, support economic growth, and promote environmental sustainability. (SOURCE: Reuters)

no mercy for GOOGLE’S R47 BILLION eu FINE OVER ABUSE

Google has lost its appeal against a €2.4 billion (about R47 billion) European Union fine for abusing its search engine dominance to favour its own shopping services. The EU Court of Justice upheld a 2017 ruling that found Google used its monopoly power to disadvantage rival shopping platforms. This case is part of broader antitrust actions against Google, which have resulted in over €8 billion in fines, including penalties for restrictive contracts on Android devices and ad exclusivity agreements. The EU's new Digital Markets Act, aimed at preventing Big Tech from favouring its own services, may further regulate Google's behaviour. (SOURCE: Bloomberg)

… AS TROUBLE LOOMS IN US OVER ADVERTISING MONOPOLY

Google is facing a U.S. antitrust trial over allegations that it monopolises the $677 billion (about R12 trillion) digital advertising market. The U.S. government claims Google built a "trifecta of monopolies" through acquisitions like DoubleClick, driving up ad prices and harming publishers. Google, which denies the claims, argues its tools enhance competition and efficiency in a changing market. Prosecutors argue that Google’s dominance forces publishers and advertisers to use its products, stifling competition. The trial marks a significant antitrust case against Big Tech, following a previous ruling against Google's search engine monopoly. (SOURCE: Bloomberg)


	Advertorial

Plan for the Future: Empower Your Workers This Bonus Season

As the year draws to a close, many of your employees will receive bonuses. Why not give them the tools t...

E Biz Blitz - 11 September 2024