The exchange rate is not a simple thing
to grasp. For a start we are being told the rand is disastrously and rapidly
weakening and yet the numbers being paraded on the TV and in newspapers are
getting steadily larger. This week there was a great deal of fuss when the
number 11 appeared. This was because it now takes more than 11 of our runts to
purchase a solitary greenback. Actually buying or needing forex is not a common
experience for most South Africans. Even in Cape Town – which everyone says is like a
different country -- the people use the same money, so what’s the fuss? The main difficulties with our cash is that
we never seem to have enough of it, and the new Mandela series bank notes seem
to wear out and get dirty quite quickly.
Sadly of course the effects of needing
more and more rands to buy one measly US dollar will soon enough get felt in
everyone’s pocket. Most stuff – critically fuel – is priced in dollars. In fact
our currency has weakened more against the pound sterling in the last few weeks
than against the USD. Fortunately, except for holidays, not very much we buy is
priced in pounds. With the notable exception of Scotch Whisky!
Some analysts are warning that the forthcoming
inflation will prompt the Reserve Bank to tug on the “Increase Interest Rates”
lever. But just adding 50 basis points or so to the return on a bank deposit will
not dispel the growing perception that security of ownership of assets is
declining. People are once again displaying a preference for assets held
offshore where there is less opportunity for the government to suggest
redistribution strategies.
Here in KZN the old vehicle number
plating system that quaintly revealed in which city the vehicle is registered
has survived up until now. But this year, car owners must change over to the
provincial system in use elsewhere in the country. The reasons offered for this
inevitably costly change, range from the asinine (too colonial) to the
obviously illogical (better control). The real reason is bound to be related to
a relative who has won the rights to be the sole supplier of the new and
expensive number plates. As an incentive for us to welcome the change, the new
plates will carry a picture appropriate to our province. What will that be?
Sunset at Nkandla? Dusi Canoe Carriers? South Beach
on New Years Day? Cable way in the ‘berg? Leopard skin ensembles?
This week it was discovered that the
sculptors of the somewhat overly imposing bronze statue of Nelson Mandela just
unveiled in Pretoria
had secretly embellished the icon. After being denied the convention of signing
their work, the artists crafted a very small and all but hidden model of a
rabbit in the great man’s right ear. How this delightful addition was
discovered is unknown but officialdom has ordered that it be removed .The
artists claim it is their trademark. This fuss is somewhat reminiscent of the
brouhaha about “the rabbit in the thorn tree” several decades ago when FNB was
forced to alter its logo after someone alleged that the bunny allegedly lurking
in the silhouette of a flat-crown thorn tree was an ANC symbol. One would like
to think that Madiba himself is quite pleased with his companion.
It really is high time the government
closed the Department of Sport. After a particularly poor showing the national
soccer team was blasted by the minister who realised there was now no chance of
a photo op of him hoisting the CHAN trophy in time for the elections. Sport is
solely the preserve of those keen and fit enough to play, those clever enough to
advise from the stands or the couch and those generous enough to sponsor our
efforts. There is absolutely no need for politicians to be involved except as
players or fans. And this is true worldwide. Watch developments at Sochi.
James Greener
Friday 24th January 2014
