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Unions Prepare to Strike as Govt Tightens the Purse Strings

SOUTH AFRICA

LOCAL NEWS

  • Unions preparing for strike action today after govt stuck to its guns on fiscal consolidation targets, saying public wages will see a 0% increase in the case of calls for 7.1-15% raises.
    • Govt says "it is broke and teetering on a fiscal cliff."
    • This is a key battle for govt which will need to stand firm if debt:GDP targets of a 96.7% peak in 2025/26 wish to be achieved. However, yesterday's show of strength was an undeniable positive.
  • Hawks investigative unit launches probe into Tokyo Sexwale's claims of the Treasury/SARB looking billions from a Heritage fund, saying he has case number and documents to support claims.
    • SARB says Sexwale has been scammed, however, with many sceptical RE claims. Investigation has been launched into Ramaphosa's knowledge of the matter
  • Human rights group Black Sash calls for the indefinite extension and an increase to the Covid-19 grant payments from R350 to R585, requesting an urgent meeting with FinMin Mboweni & Ramaphosa.
    • Govt has already spent R6bn on the programme to date and is unlikely to extend due to costs
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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