Changes and
levels of the exchange rate between the rand and other currencies on all time
scales can reasonably be used as an indicator of the aggregate opinion of the
worth of the nation. This week the diagnosis was that we are a very sick puppy.
Dull eyes, white gums and no wag in the tail. Two high profile “influencers”, Richard
Quest of CNN and R W Johnson, an independent journalist, came out with severe “tell
it like it is” bear cases for the country. The “oh but…” responses have been
loud and fast but this time they have failed to rally the faithful or yet the
rand. Perhaps the biggest disappointment for many is the suspicion that
President Cyril is utterly powerless and merely clings to his view, expressed many
years ago, that South Africa has little need for colonials.
We have mused
before about the irony of students, some of whom undoubtedly are reading for
degrees in economics and business, trashing their campus in protest for having
to pay debts. Their actions betray that their grasp of their subject is
approaching the impossibly low 30% now required for a school leaving pass. The lack
of understanding of how both government and the private sector are funded was a
big theme this week. Taxes and profits are words invariably misused by the ignorant.
There was
official smugness and relief when the Development Bank of Southern Africa conjured
up a R3.5bn loan for the national airline supposedly without recourse to the
National Treasury and taxpayer’s money. Errr. Not quite chaps. If ever one
wanted an illustration of the “kicking the can down the road” idiom this is it.
DBSA is wholly state owned.
Yet again
costly lawyers are in court for two state entities arguing about the
interpretation of laws and regulations. Without any discussion about whether
increasing the price of electricity by almost 20% is affordable, warranted or
necessary, Eskom, the power utility is taking on the regulator, Nersa, which has
capped the increase at 5.2%. The background is of course that Eskom is in dire
need of money and surprisingly have recently got the Congress of South African
Trade Union’s support for a R200 billion “investment” by the state pension fund.
Another very bad idea.
Then the
Department of Health published a multi-coloured leaflet assuring citizens that
the huge costs of the new National Health Initiative would not be funded by “extra
money from your pocket” but will instead be paid for by taxation and
appropriated through parliament. This was followed by the news that the Minister
presumably responsible for approving this nonsense has appointed his niece as the
chief of staff for his department. Allegedly she has form in the perennial difficulty
of failing to distinguish the difference between her own money and someone else’s.
Unfortunately,
Tidemarks last week failed to acknowledge that it was International Customs Day.
It does however want to point out that today is so-called Brexit day when Great
Britain leaves the European Union. Only the soon to be unemployed civil
servants and the determinedly curmudgeonly are likely immediately to discover
and point out any effects of this quite significant development. However, human
resourcefulness and self-preservation instincts have long been thinking how
best to get on with their lives and manage without a whole layer of costly
government based in another country. The majority are in fact pretty hazy about
what it all means. This is best illustrated by a young lass faced with an impromptu
microphone for a “vox pop” in the street interview who spluttered that she thought
cheese would be unobtainable after today. The rest of us are just deeply grateful
that this very ugly and inharmonious word that has dominated the airwaves for
far too long can now slide into history.
It still
January and the temperature is forecast to reach 33degrees and Super Rugby kicks
off tonight in the Shark Tank. It’s amazing how the skills and confidence that
provided the ‘bokke with the World Cup just months ago seem to have evaporated.
I’m starting to read and agree with the commentaries that this tournament may
have reached its sell-by date.
James
Greener
Brexit Day
2020
