Star 2024-12-20

Botswana’s newly elected government under President Duma Boko has officially lifted its import restrictions on vegetables from South Africa. This decisive move is expected to revitalise trade routes that have been affected by previous policies and enhance food security within Botswana’s borders. The National Agricultural Marketing Council (NAMC) yesterday heralded this decision as a pivotal moment not only for Botswana but for the agricultural economy of South Africa as well. According to the NAMC, the restrictions had previously caused a significant dip in South African vegetable exports to Botwana – falling from $33.8 million in 2021 to just $14.7m in 2023. In a statement, the NAMC said a key feature of the Southern African Customs Union (Sacu) is the application of a single tariff regime, that is the common external…

BHP is facing a claim for sexual harrassment and sexual discrimination against women who worked for the company between November 2003 and March 2024. Shares in BHP, whose bid for Anglo American was rebuffed this year, slid 1.8% to R450.64 in afternoon trade on the JSE yesterday. The claim for sexual harassment and sex discrimination against BHP was filed with the Federal Court of Australia. “BHP has been served with a representative class action proceeding that has been filed in the Federal Court of Australia in relation to allegations of sexual harassment and sex discrimination,” said BHP in a statement. “The claim is brought on behalf of all women who worked at BHP’s Australian workplaces at any time during the period 12 November 2003 to 11 March 2024 who were…

The latest agreement “monetises the future value of gold” produced from its PGM operations Sibanye-Stillwater announced yesterday that it will access $500 million (R8.8 billion) in non-debt capital after the company entered into a streaming agreement with Franco-Nevada for a fraction of gold and platinum produced from its Marikana, Rustenburg and Kroondal operations in South Africa. Shares in the SA gold and platinum group metals (PGM) producer traded 2.3% weaker to R16.64 in afternoon trade on the JSE yesterday, adding to the company’s 8.83%, 15.82% and 31.61% weakening in the past seven days, six months and year-to-date periods respectively. Although the new streaming agreement is still subject to approvals from the South African Reserve Bank, Sibanye-Stillwater will receive a $500m upfront payment in exchange for gold ounces equal to 1.1%…

Eskom yesterday announced that it was aiming at an after-tax profit of R10 billion for the financial year ending March 2025 after suffering a loss of R55bn in the financial year ended March 2024. The state-owned power utility’s loss after tax of R55bn occurred mainly due to the derecognition of a deferred tax asset of R36.6bn triggered by the separation of the National Transmission Company South Africa on March 31, 2024. Eskom chief financial officer, Calib Cassim, deemed it unlikely that the remaining business would generate sufficient taxable income within the next five years to fully utilise Eskom’s unused assessed tax losses. “It is encouraging that we recorded a lower loss before tax despite the momentous operational challenges we faced. I believe that we have reached a turning point and…

As we approach 2025, global markets present a dynamic mix of opportunities and risks. Geopolitical tensions, shifting economic policies, and evolving consumer dynamics are reshaping the investment terrain. The ability to cut through short-term noise and focus on long-term fundamentals is more important than ever. By adopting a systematic and evidence-based approach, investors can navigate these complexities and position themselves to seize opportunities across asset classes. Trump-era Tariffs Recent data indicates that the US economy is growing above trend, driven by robust consumer spending, declining political uncertainty as the election cycle stabilises, and a resilient labor market. These factors collectively point to potential upside surprises in US GDP growth for 2025. Despite this acceleration in growth, inflation concerns remain muted. Inflation in the US is largely driven by the shelter…

The current rate of decarbonisation is too slow to meet science-based targets. As the mining industry looks towards a new year, it needs to urgently commit to an intensified pursuit of decarbonisation targets. Decarbonisation will be one of the key topics featured at the Investing in Africa Mining Indaba 2025 next February in Cape Town. We will bring our own experts to this important gathering to present the findings of our research along with solutions that will help mining companies to advance their efforts to decarbonise and future-proof their operations. Mining accounts for 4-7% of direct global greenhouse gas emissions. When scope 3 downstream emissions are included, this rises to 28%, or 19 440 megatons of carbon dioxide equivalent which is second only to agriculture/ land use/waste at 30% of…