๐๐ฐ๐ฐ๐ผ๐๐ป๐๐ถ๐ป๐ด records information related to a businessโs transactions,
It provides a summary of statements reflecting the financial performance of an entity. Think of it as the ๐น๐ฎ๐ป๐ด๐๐ฎ๐ด๐ฒ ๐ผ๐ณ ๐ฏ๐๐๐ถ๐ป๐ฒ๐๐.
National Treasury ( NT ) plans to use the ๐๐ป๐ฟ๐ฒ๐ฎ๐น๐ถ๐๐ฒ๐ฑ ๐ด๐ฎ๐ถ๐ป๐ from the Gold and Foreign Exchange Contingency Reserve Account ( GFECRA )
They call it โ๐ช๐ฎ๐๐ฒ๐ฟ๐ณ๐ฎ๐น๐นโ arrangement
Learn more ๐ป
** Glossary **
โช๏ธNational Treasury
โช๏ธGFECRA
National Treasury is one of many departments of the South African Government
The Treasury falls within the portfolio of the Minister of Finance, and the role of NT is to manage the Governmentโs Finances.
The South African Revenue Service (SARS) and Statistics South Africa also fall under this wing.
โโโโโโ-
The Gold and Foreign Exchange Contingency Reserve Account is a tool used to safeguard the country's financial stability.
This accountโs purpose is in its name, it holds the reserves of gold and foreign currencies South Africa has built up.
1/ The Waterfall Arrangement
๐ฆ๐ถ๐ป๐ฐ๐ฒ ๐๐ต๐ฒ ๐บ๐ผ๐ป๐ฒ๐ ๐๐ต๐ฎ๐ ๐๐ฒ๐ป๐ ๐ถ๐ป๐๐ผ ๐๐ต๐ฒ ๐๐๐๐๐ฅ๐ ๐๐ฒ๐ป๐ ๐ถ๐ป *๐๐ป๐๐ฒ๐๐๐น๐ฒ๐ฑ, it means it has grown larger over the years due to currency depreciation.
( remember this, cause this will be important later on )
โโโโโ
Going forward, the funds from the GFECRA will now be distributed into 3 pools, ๐๐ต๐ถ๐ฐ๐ต ๐๐ถ๐น๐น ๐ฏ๐ฒ ๐ธ๐ป๐ผ๐๐ป ๐ฎ๐ ๐๐ต๐ฒ ๐ช๐ฎ๐๐ฒ๐ฟ๐ณ๐ฎ๐น๐น ๐ฎ๐ฟ๐ฟ๐ฎ๐ป๐ด๐ฒ๐บ๐ฒ๐ป๐.
*Unsettled funds going into ๐๐๐๐๐ฅ๐, means funds that entered into the account and had no purpose, they werenโt allocated or spent to anything specific.
*Picture just for visualization purposes to show the 3 Pools ( Waterfall arrangement)
The story dates back to 1886 and can be traced to the days of the Johannesburg Gold rush.
Here is how a man with a small brewery in Northern Natal led to the historic legacy of the South African Breweries (SAB)
โโโโโโโโโโโโโโ
Charles Glass, British-Born-Brewer, established Glass & Co in 1864, which ended up giving birth to a global powerhouse in the later years.
As time passed, he saw a money making opportunity in the market, to provide miners with beer in the Witwatersrand Reef (๐ฎ๐น๐๐ผ ๐ธ๐ป๐ผ๐๐ป ๐ฎ๐ ๐๐ต๐ฒ ๐ฅ๐ฎ๐ป๐ฑ).
The beer soon became a hit that Charles and his wife, Lisa, decided to set up their brewery in the business centre of the town to capture the influx of fortune seekers coming to Witwatersrand Reef.
The phrase โ๐๐๐ฟ๐ถ๐ป๐ด ๐ฎ ๐ด๐ผ๐น๐ฑ ๐ฟ๐๐๐ต, ๐๐ฒ๐น๐น ๐ฏ๐ฒ๐ฒ๐ฟ๐โ, seems more appropriate hereโ.
His beer brew took some time to gain traction, it was only when Charles Glassโs new beer, ๐๐ฎ๐๐๐น๐ฒ ๐๐ฒ๐ฒ๐ฟ, was introduced that he won the miners over and secured the market.
It was in 1884 that Castleโs famous label, ๐๐ต๐ฒ ๐๐ต๐ฟ๐ฒ๐ฒ-๐๐๐ฟ๐ฟ๐ฒ๐๐ฒ๐ฑ ๐ณ๐ผ๐ฟ๐๐ฟ๐ฒ๐๐, ๐๐ฎ๐ ๐ถ๐ป๐๐ฟ๐ผ๐ฑ๐๐ฐ๐ฒ๐ฑ.
As a result of his success with Castle Beer, he renamed his business to โ๐๐ฎ๐๐๐น๐ฒ ๐๐ฟ๐ฒ๐๐ฒ๐ฟ๐โ and focused on distribution, to expand.
Because of the extraordinary quantities of gold that had been extracted from the Witwatersrand rocks,
๐๐ต๐ฒ ๐ฆ๐ผ๐๐๐ต ๐๐ณ๐ฟ๐ถ๐ฐ๐ฎ๐ป ๐ฐ๐๐ฟ๐ฟ๐ฒ๐ป๐ฐ๐ ๐๐ฎ๐ ๐ป๐ฎ๐บ๐ฒ๐ฑ ๐๐ต๐ฒ ๐ฅ๐ฎ๐ป๐ฑ ๐ถ๐ป ๐ญ๐ต๐ฒ๐ญ upon the declaration of the republic
Learn more here:
The History of the South African Reserve Bank ๐๐ฝ
The lease on their premise expires, and J. M. L. Baumann purchases the bakery operations from his uncle
๐๐ฒ๐๐๐ฒ๐ฒ๐ป ๐ญ๐ด๐ด๐ฑ - ๐ญ๐ด๐ต๐ฑ, he (J.M.L) constructs a small building and starts to buy biscuit machinery, to make more โ๐๐๐๐๐ข ๐๐๐๐๐๐๐๐โ such as, ginger nuts and marie biscuits.
The company starts to falter because of the anti-German riots, which leads to the bakery and shop being burnt to the ground, ๐ผ๐ป ๐๐ผ๐ฝ ๐ผ๐ณ ๐๐ต๐ถ๐, there are massive supply disruptions across the country during the Great Depression
๐๐ผ๐๐ฒ๐๐ฒ๐ฟ,
a couple of things worked out in their favor.
(I) The factory manages to survive the anti-German riots of 1915, mainly because it was producing biscuits for the army, so the factory was put under government protection to prevent further damage.
(ii) the company's name changes from Baumann's (German) to ๐๐ฎ๐ธ๐ฒ๐ฟ๐ ๐๐ถ๐บ๐ถ๐๐ฒ๐ฑ, thus giving birth to the iconic brand we now know today.
The famous Bakerโs mascot makes its first appearance on the packaging in 1923.
2/ The Following Chapter
The Family business is passed down from generation to generation, an epitome, of generational wealth.
A young man finishes school and needs a job, just as many do, he finds the most convenient job available, which is at the ๐๐ต๐ฎ๐ฝ๐ฒ๐น๐ฎ๐ ๐ฆ๐๐ฒ๐ฒ๐ ๐๐ฎ๐ฐ๐๐ผ๐ฟ๐, just down the road from his house in Troyeville, Johannesburg.
The creator of the iconic
๐๐ต๐ฎ๐ฝ๐ฝ๐ถ๐ฒ๐ ๐๐๐ฏ๐ฏ๐น๐ฒ๐ด๐๐บ ๐๐ฟ๐ฎ๐ป๐ฑ was inspired when the Chapelat Confectionary Company found themselves losing their biggest client at the time โ OK Bazaars
This pressure led Arthur Ginsberg to come up with the ๐๐ต๐ฎ๐ฝ๐ฝ๐ถ๐ฒ๐ ๐๐ฟ๐ฎ๐ป๐ฑ ๐ถ๐ป ๐ญ๐ต๐ฐ๐ด. The idea was sparked by looking at a competitorโs product.
Wicks bubble gum, at the time, was selling gum for a penny each, and Arthur believed he could sell two for a penny โ๐ด๐ถ๐๐ถ๐ป๐ด ๐ฏ๐ถ๐ฟ๐๐ต ๐๐ผ ๐๐ต๐ฎ๐ฝ๐ฝ๐ถ๐ฒ๐.
*The Chapelat Sweet Factory is what gave him the inspiration and it is where โchappiesโ derived its name from.
Arthur had been made head of marketing and sales at Chapelat Confectionary Company, even though he spent many years studying at night to complete a BComm degree at Wits University.
He was truly passionate about marketing and advertising.
The only thing that was left to do was to market Chappies, this is where Arthur Ginsberg proved to be a mastermind.
He focused on making chappies attractive to children by having the famous โ๐๐ถ๐ฑ ๐๐ผ๐ ๐ธ๐ป๐ผ๐โ questions on the inside of each wrapper.
๐๐ถ๐ฑ ๐๐ผ๐ ๐ธ๐ป๐ผ๐:
A cartoon chipmunk was inserted under โChappiesโ on the wrapper.
Management felt that rural black children who possibly couldnโt read needed to be able distinguish the real Chappies from any substitutes on the market, and the chipmunk was that distinctive feature.
*The wrapper still contains the famous chipmunk today.