While the context is very different, the 2011 London riots tell us something useful for managing the riots in SA now. A thread
Those riots had a political genesis of great anger following the police shooting of Mark Duggin. In four days destruction and looting caused over R1bn of damage across London and in other cities. Subsequently over 1,600 were arrested and charged.
Sep 10, 2020 • 14 tweets • 4 min read
This "only a few" benefit from BEE narrative really needs to be challenged. Lets get some facts straight... a thread.
The BEE Commission analysed almost 6000 BEE certificates this year. It found that ave black ownership in companies had increased to 29% from 25%. While it doesn't determine how many individuals benefit from this ownership, smaller companies often use staff schemes. So its a lot.
Jun 17, 2020 • 18 tweets • 4 min read
That's an interesting list. But if anything, everyone of them provides a counterexample to how SAA is done, and proposed to be done. A thread...
China: Government has been introducing private shareholders into the three state-owned airlines for some time efe.com/efe/english/bu…. Have a look at China on this list: not one single case of increased investment in airlines by the state in China: https://t.co/1wgLv3f1yA
May 14, 2020 • 30 tweets • 5 min read
There has been much debate about whether the battle against the Covid-19 crisis or the economy should come first. This debate is misguided and unhelpful. A thread...
Fundamentally, our objectives as a society are to give citizens the best lives possible while treating everyone fairly. That is sorta the ANC’s “better life for all” tag line, and I think most economists and philosophers agree on the objective. “Best”, of course, is loaded, but
Feb 17, 2020 • 9 tweets • 2 min read
Lets get a few things right about the Cosatu Eskom plan and my views on it. A thread.
It has been claimed by some that the alternative to the proposal of moving R250bn of debt off Eskom's balance sheet into an SPV funded by the IDC, DBSA and GEPF is to do nothing. This is false. Everyone recognises that Eskom's debt is unsustainable. The question is what to do.
Aug 4, 2019 • 10 tweets • 3 min read
The strangest story last week was of Africapacity's apparent bid to buy VBS Mutual Bank. @StephenGrootes interviewed its chief investment officer here
I wondered who on earth these people are. A CIPC searched showed the company Africapacity Investment Holdings is being deregistered. It has two directors: Nomzamo Xabanisa and Nombini Xabanisa. It has also inserted itself to apparently act on behalf of VBS depositsors
Jun 13, 2019 • 18 tweets • 6 min read
Back in January I asked whether it was safe to talk about economic policy again (intellidex.co.za/insights/stuar…). @Bruceps has highlighted that some policy arguments, particularly from the left, still play straight into the hands of the state capture brigade businesslive.co.za/fm/opinion/bru…
There has been a furious response to @Bruceps 's point, arguing that we can all stand against state capture while still engaging on policy, including by @IfaaCT for example: businesslive.co.za/amp/bd/opinion…
May 6, 2019 • 13 tweets • 3 min read
Enoch Godongwana's comments last night on using prescribed assets to force banks to finance coal is very concerning. It indicates a misunderstanding of how banks work and lack of appreciation of the +ve role funding decisions make in driving market discipline. A thread 1/13
Banks are intermediaries. They sit in between savers (funders) and borrowers. Funders have significant influences over banks because they will withhold funds from banks that do not meet desired criteria. 2/13
Jan 29, 2019 • 10 tweets • 3 min read
They were worse than wasted years... during the presidency of @PresJGZuma the country went from GDP growth ahead of the global average to way behind it. Oh, and...
Business confidence collapsed.
Nov 17, 2018 • 17 tweets • 5 min read
I see there has been something of a brouhaha among #whitetwitter about Discovery Bank’s empowerment scheme that will sell 10% of the bank to black people. A thread…
First, Discovery Bank’s decision is in line with the financial sector transformation code. This provides that banks should sell 10% of their equity to black people. This is significantly less than other industries in which the general rule is 25%. But
