Notable Things Happening in South Africa

While South Africa is not the only country hit by the coronavirus pandemic. In South Africa there have been 854 new cases, taking the total reported to 639,362. Deaths have reached 15,004 (an increase of 115), while recoveries have climbed to 566,555, leaving the country with a balance of 57,803 active cases.

Economists expect a massive decline in GDP, deepening the country’s recession. The expected decline is in the range of 40% to 50%, with the SARB’s own projections at 40.1%. As confirmation, Stats SA will publish the latest GDP figures on how the economy performed under the lockdown.

The rand fell as investors dumped the currency ahead of GDP data being published. The dollar is steadily gaining momentum as the European Central Bank meeting about concerns expressed by the central bank regarding the strong euro. The rand starts Tuesday on weaker terrain at R16.74 to the dollar, R19.75 to the euro, and R22.00 to the pound.

South Africa Revenue Service (SARS) says that tax collections in August were down 20%, with a R60 billion shortfall. This was due to a drop in economic activity and lower compliance from taxpayers. Commissioner Edward Kieswetter appealed to South Africans to not ‘fiddle with’ their taxes. He said that doing so would harm the poorest and most vulnerable in society.

Students are struggling to cope with the fallout of the Covid-19 lockdown which has brought their regular activities to a halt. Apart from challenges relating to not getting promised laptops and internet access, there have also been several logistics issues associated with delivering these laptops. There has also been a lack of digital literacy to effectively work remotely.

Clicks, a retail pharmacy company, forced 445 others to close down after seven damaged by protesters over racist advertisement. The EFF is campaigning to have the stores shut down for the rest of the week. The management has apologized and taken responsibility for their actions however, this has been ignored and brushed aside by the EFF.