South Africans dropping DStv, and the GNU still in trouble

The South African rand strengthened on Friday, buoyed by optimism surrounding a potential easing of US-China trade tensions and better-than-expected U.S. jobs data, which increased global risk appetite.

This appreciation occurred despite another weak local purchasing managers’ index (PMI) survey, indicating depressed manufacturing conditions in Africa’s largest economy.

The rand was trading at 18.3525 against the dollar, marking an approximate 1% increase from Thursday’s closing level.

Over the past month, the rand has experienced high volatility, primarily influenced by fluctuations in offshore investor sentiment related to US President Donald Trump’s tariffs and local political disputes over the budget.

On Monday, 5 May, the rand was trading at R18.39 to the dollar, R24.44 to the pound and R20.84 to the euro. Oil was trading slightly lower at $59.04 a barrel.

Here are five other important things happening in and affecting South Africa today:

South Africans dumping DStv: According to MultiChoice’s half-year financial report ending 30 September 2024, DStv’s subscribers in South Africa fell to 7.4 million, a decrease of 399,000 or 5.1% from the previous year, reflecting a continuing negative trend. [MyBroadband]

GNU troubles: Over 100 Members of Parliament—about two-thirds of the total—demanded that the GNU remove the “misbehaving” Democratic Alliance (DA) from the government of national unity and replace it with smaller parties to secure a majority. However, ANC Secretary-General Fikile Mbalula noted that while concerns were raised, ANC members continue to follow party lines. [Sunday Times]

SARS goes after former Prasa CEO: In a tax dispute, the South African Revenue Service (SARS) has filed an application in the Pretoria High Court to attach the assets of former Prasa CEO Lucky Montana, valued at over R46 million. Additionally, the tax authority is requesting that Montana be declared insolvent. This application will be heard in the High Court on Monday. [Business Day]

Billionaire touted as possible next president: Senior members of the ANC are attempting to persuade billionaire Patrice Motsepe to consider becoming the party’s next president. This is according to two reliable sources, who said that many ANC members have been encouraging Motsepe to enter politics for some time. [Daily Investor]

Power warning for Joburg: City Power is urging residents of Johannesburg’s inner city to use electricity sparingly as efforts to restore power to full capacity are ongoing. This follows a fire in an underground tunnel near the M1 double-decker, which caused a major blackout. Investigations by City Power revealed that cable theft was the cause of the fire. [EWN]