Analysts Sceptical About Govt's 12% State Pension Plans, ANC on Track for IEC Deadline

LOCAL NEWS

• Analysts sceptical about Govt plans for a 12% contribution to state managed pension fund as highlighted in a green paper released yesterday which also referred to the possibility of a basic income grant.
  • While this goes a long way towards creating a broad-based social welfare net, it comes at a time when the tax base is precariously overstretched, cynical and challenged as a result of the pandemic and years of fiscal looseness & corruption from Govt.
  • This will be an extremely hard sell to both the people and investors, given the poor state of SA's SOEs.
• ANC says it is on track to submit its election candidate list to the IEC by Aug 23 deadline, despite the ANC go slow over unpaid salaries
• State arms company Denel is looking to sell two arms of its business (Denel Mechem & Denel Gear Ratio) and transfer another to the dept of science and innovation as part of its restructuring plan.
  • Denel says it will need to implement a new business model, but needs fresh funding – and with no help from the Treasury will need to pursue asset disposals