Eskom power cuts rand - junk status warning; Zim dark days; retail sales; Mediclinic boost; Brexit tensions

Loading player...
Loadshedding was the big story of the day on Wednesday, with the rand weakening as Eskom, the state-owned South African utility that provides about 95% of the nation’s power, said it would cut 2,000 megawatts of electricity from the national grid because of a shortage of generation capacity, reports Bloomberg.

Power cuts could push SA to junk status, Bloomberg warns. Power shortages have been a major constraint on output in Africa’s most industrialised economy and could cost the country its last investment-grade credit rating from Moody’s Investors Service, which is due to deliver its next assessment on November 1.

Eskom troubles will have a knock on effect to Zimbabwe, where some Harare residents have been without power for three days. Bloomberg reports that the power blackouts announced by South Africa’s Eskom will exacerbate power shortages in neighbouring Zimbabwe.

South African retail sales rose 1.1% year-on-year in August following a 2% increase in July, Statistics South Africa said on Wednesday.

Mediclinic was among the best performers on the Johannesburg stock exchange on Wednesday after it said it expects higher first-half core earnings. Learn more about your ad choices. Visit megaphone.fm/adchoices
16 Oct 2019 1PM English South Africa Investing · Business News

Other recent episodes

BN Daybreak Fri 16 Jan: Trump’s Nobel “Medal”; Farmers boo Steenhuisen; ASML jumps

In this episode of BizNews Daybreak, Alec Hogg covers the intersection of high-stakes global politics and critical local challenges: Trump’s Nobel Moment: Venezuelan opposition leader Maria Corina Machado presents her Nobel Peace Prize medal to Donald Trump at the White House, calling him the “heir to Washington”. US-Taiwan Trade Deal:…
15 Jan 11PM 18 min

BN Daybreak Thurs 15 Jan: Abedian on SA Silence about “21st Century Nazis”; Mining Indaba's back story; Sasol Surges

In this morning's briefing, Alec Hogg unpacks a volatile geopolitical landscape where conflicting reports emerge from Iran—Donald Trump claims de-escalation while internal memos suggest mass casualties. We speak to Iranian-born and bred entrepreneur and former UCT Economics Prof Iraj Abedian, who delivers a scathing critique of the South African government's…
14 Jan 11PM 17 min