Author: MIL-OSI Publisher

South Africa remains on course to meet its fiscal targets despite the economic uncertainty created by the recent conflict in the Middle East, National Treasury Director-General Duncan Pieterse said on Monday.

Speaking at the Citi Emerging Markets Macro and Credit Conference, Pieterse said the country’s public finances had reached a turning point following the February 2026 Budget, which saw government debt stabilise relative to GDP for the first time since before the 2008 global financial crisis.

He said South Africa had also achieved a third consecutive primary budget surplus, demonstrating government’s ability to meet both its fiscal consolidation targets and structural reform commitments.

“The true test of fiscal credibility is to deliver on our fiscal objectives through the cycle, including in times of stress,” Pieterse said.

His comments come after the escalation in conflict in the Middle East three days after Finance Minister Enoch Godongwana tabled the national Budget, triggering concerns about rising energy prices and their impact on South Africa’s economy and public finances.

Pieterse said recent assessments by major credit rating agencies had reinforced confidence in South Africa’s fiscal trajectory. 

Moody’s recently revised South Africa’s outlook to positive, while S&P Global Ratings reaffirmed its positive outlook after upgrading the country’s sovereign rating in November 2025.

According to Pieterse, both agencies expect South Africa’s debt burden to decline over the next three years while structural reforms continue to support economic growth.

He noted that South Africa is currently the only G20 country with a positive outlook from Moody’s and one of only two G20 countries with a positive outlook from S&P.

Treasury reported stronger-than-expected fiscal outcomes for the 2025/26 financial year. The primary surplus reached 1.1% of GDP, exceeding the Budget estimate of 0.9%, while the main budget deficit narrowed to 4.3% of GDP compared with the projected 4.6%.

Government debt is expected to decline over the medium term, while the main budget deficit is forecast to fall to 3.1% by 2029.

Pieterse said government would introduce a formal fiscal rule during the Medium-Term Budget Policy Statement in October to reinforce its debt reduction and primary surplus objectives.

In response to rising fuel prices linked to the Middle East conflict, government introduced temporary fuel levy relief from April to June at a cost of R17.2 billion. 

Pieterse said the measure would be funded from fiscal outperformance recorded in the previous financial year and would therefore be fiscally neutral.

He added that any additional relief measures would be accommodated within existing departmental budgets.

Treasury also reported continued revenue strength at the start of the new financial year. Tax collections in April exceeded Budget forecasts by R5.9 billion, representing annual growth of 10.1%.

Pieterse said government spending remained largely insulated from inflationary pressures, with the public-sector wage agreement fixed until the 2027/28 financial year. 

Social grant spending is also expected to come in around R2 billion below projections due to improved beneficiary verification processes.

He said debt dynamics had improved significantly, with government debt expected to peak in 2025/26 before declining to 76.5% of GDP by 2028/29.

South Africa’s borrowing costs have also fallen. Pieterse said domestic government bond yields had declined by an average of 240 basis points between the 2025 and 2026 Budgets, while five-year Eurobond spreads narrowed from 170 basis points before the Middle East conflict to 106 basis points currently.

On state-owned enterprises, Pieterse said Eskom was on track to record its second consecutive year of profitability after posting a R16 billion profit in 2025 and R24.3 billion in the first half of 2026.

He attributed the turnaround to operational improvements, higher tariffs and conditions attached to government debt relief.

South Africa has now gone more than 365 days without load shedding, he said.

Transnet remains loss-making but has shown signs of recovery, with freight volumes increasing and losses narrowing. Pieterse said no equity injection would be required for the logistics company as existing guarantees adequately cover its financing needs.

Turning to the broader economy, Pieterse said South Africa’s medium-term growth outlook had improved as structural reforms gained momentum.

Economic growth accelerated during the second half of 2025, with GDP expanding by 1.1% for the year, double the growth rate recorded in 2024. The February Budget projected growth rising to 2% by 2028.

Fixed investment has also begun to recover, with two consecutive quarters of growth recorded during 2025 after an extended period of contraction.

Agricultural exports increased by 11% in the first quarter of 2026 compared with the same period a year earlier, supported by higher export volumes and improved prices.

Pieterse acknowledged that the Middle East conflict had increased concerns about fertiliser supply and prices, but said South Africa was unlikely to face shortages because it could diversify import sources.

He highlighted progress in energy reform, noting that the National Energy Regulator of South Africa (NERSA) has registered more than 19 gigawatts of new generation capacity. 

The National Transmission Company of South Africa has a further 24 gigawatts of projects seeking grid connections over the next six years.

Government is also advancing plans to establish an independent transmission system operator and implement a wholesale electricity market.

In the logistics sector, Pieterse said private-sector participation was expanding. 

The 25-year concession for Durban Container Terminal Pier 2 became operational in January, while 11 train operating companies have been selected to operate on 41 routes across six freight corridors.

He said government infrastructure spending would grow by nearly 10% annually over the medium term, making it the fastest-growing area of expenditure.

Major investments are planned for passenger rail, including R23.1 billion for signalling systems, R7.4 billion for operational support and R5.7 billion for rolling stock.

Treasury has also approved R104 billion in infrastructure projects through the Budget Facility for Infrastructure and raised R11.8 billion through its first infrastructure bond issued in December 2025.

Pieterse said municipal reform would be another key focus area ahead of local government elections in November. Treasury has launched a Metro Trading Services Reform programme backed by R54 billion over the medium term to improve municipal finances and infrastructure investment.

Pieterse said government remained committed to reducing debt and strengthening economic growth despite global uncertainty.

“We are not yet where we want to be and more work lies ahead, especially in the current global environment. But we are on track to get there,” he said. – SAnews.gov.za

0

Nelson Mandela Bay Municipality has urged residents, businesses, motorists and other stakeholders to exercise extreme caution after the South African Weather Service (SAWS) issued a Level 5 warning for disruptive rainfall expected on Wednesday and Thursday.

The warning indicated a high likelihood of heavy rainfall across Nelson Mandela Bay and the surrounding areas, with the potential to cause localised flooding, dangerous road conditions, damage to infrastructure, disruptions to essential services, and potential risk to life and property.

The South African Weather Service (SAWS) said a cut-off low-pressure system is expected to bring cold, wet and windy weather to the central and southern parts of the country on Wednesday, with possible localised flooding in the Eastern and Western Cape.

“A cold front is expected to slip south of the country, with a cut-off low deepening west of the country, which is expected to propagate eastwards across South Africa from Wednesday and finally exit the country towards the weekend,” the Weather Service said on Monday.

The municipality said its Disaster Management Centre, emergency services and relevant municipal departments have been placed on high alert and are closely monitoring weather developments to ensure a coordinated response to any incidents arising from the severe conditions.

“Residents living in low lying and flood prone areas are encouraged to take the necessary precautions to protect themselves, their families and their property. 

“Motorists are advised to avoid travelling, unless necessary, during periods of intense rainfall and should never attempt to cross flooded roads, bridges, streams or low water crossings,” Executive Mayor Babalwa Lobishe said in a statement.

The municipality has urged residents to:
• Stay informed by monitoring official weather updates and municipal communication platforms.
• Secure loose outdoor items and protect valuable household belongings from possible water damage.
• Clear drainage systems around homes and businesses, where possible, to improve water flow.
• Avoid unnecessary travel during severe weather conditions.
• Immediately report emergencies, flooding, fallen trees, damaged infrastructure, or any threat to public safety to the relevant emergency authorities.

Lobishe said the municipality is implementing proactive measures to safeguard communities and minimise the impact of the anticipated severe weather conditions.

She urged all residents to remain vigilant, heed all weather warnings, and prioritise their safety.

“While municipal teams are on standby and ready to respond, community cooperation is critical in reducing risks and preventing avoidable incidents during this period of severe weather. 

“The municipality will continue to provide updates as conditions develop and encourages residents to follow official communication channels for accurate and timely information,” Lobishe said.

Law enforcement on site amid protest action

Meanwhile, the municipality confirmed that it is aware of protest action taking place in parts of the metro.

According to reports received from law enforcement agencies, the gatherings have remained peaceful, with no incidents reported and no significant impact on traffic movement.

“Law enforcement agencies remain on site and continue to monitor the situation to ensure public safety, maintain public order, and facilitate the lawful exercise of constitutional rights,” the municipality said.

While acknowledging the constitutional right of all individuals and groups to express their views through peaceful and lawful protest, the municipality stressed that all public gatherings, marches and demonstrations must be conducted in accordance with the Regulation of Gatherings Act and other applicable legislation.

“Residents are encouraged to remain calm and to obtain information from credible and official sources. The municipality further calls on all participants to cooperate with law enforcement officials and to conduct themselves in a peaceful and responsible manner.”

The municipality reaffirmed its commitment to upholding the rule of law, protecting public safety, promoting social cohesion, and respecting the rights and dignity of all people within its communities. – SAnews.gov.za

4

Police in the North West have arrested 586 suspects for various offences as part of Operation Shanela.

The arrests were made between 25 and 31 May 2026.

“The multi-disciplinary operations focused on stop-and-search actions, roadblocks, vehicle checkpoints (VCPs), high visibility patrols, including foot patrols, tracing of wanted suspects, as well as inspections at 192 liquor outlets and 54 second-hand goods premises,” the police said in a statement on Tuesday.

“Of the 586 suspects, 307 were wanted suspects, who were traced and apprehended by detectives after being linked to crimes through forensic DNA and other investigative leads,” the police said.

During the operations, police confiscated drugs, tobacco products, liquor, dangerous weapons, two firearms, ammunition, and one vehicle.

An unannounced Operation Shanela was conducted on Friday and Saturday nights, 29 and 30 May 2026 in Mahikeng and Lomanyaneng. 

The operational team comprised members from the Provincial Anti-Gang Unit, Tactical Response Team (TRT), Liquor and Second Hand Goods (FLASH) Unit, Crime Intelligence: Overt Operations, Mahikeng Communications and Home Affairs, leading to the arrest of 15 undocumented persons, mostly Malawian citizens.

One employee was fined R1 500 for employing an illegal immigrant, while another 20-year-old suspect was arrested for possession of suspected illegal goods in contravention of Section 80(1)(a) of the Customs and Excise Act, Act 91 of 1964. 

Police seized cigarettes valued at close to R10 000. One suspect was arrested for possession of drugs, while another person was fined for selling liquor without a licence.

The Acting Provincial Commissioner, Major General Ryno Naidoo, commended members for their efforts, saying that Operation Shanela continues to deliver tangible results in the fight against crime. 

He further commended the teams for their cooperation in ensuring a safer environment for all in the province.

Extortion-related incidents can be reported to the Extortion hotline on 080 091 1011. – SAnews.gov.za

3

The Acting Provincial Commissioner of the North West, Major General Ryno Naidoo, has commended law enforcement agencies and regulatory partners for the successful execution of coordinated illicit goods operations in Rustenburg, Brits, Marikana and Hartbeespoort Dam.

The operations were conducted between Monday and Saturday.

“The intelligence-driven operations formed part of ongoing efforts to combat the proliferation of counterfeit and illicit goods, protect consumers from potentially harmful products, and safeguard the country’s economy from criminal activities linked to illicit trade,” the police said in a statement.

The operations were conducted through a collaborative approach involving the National Counterfeit and Illicit Goods Unit, Customs, SARS Tactical Analysis and Investigation Unit, Public Order Policing (POP) Rustenburg, Anti-Gang Unit, Phokeng K9 Unit, TRT Brits, Hartbeespoort Dam K9 Unit, North West Provincial Commercial Crime Unit, Brand Protectors and the National Regulator for Consumer Specifications (NRCS).

During the operations, authorities seized a wide range of suspected counterfeit and illicit products, including branded clothing, sports apparel, sneakers, toys, cosmetics, high-end fashion accessories, medication, and various consumable goods.

A total of 178 825 items were seized, with an estimated value of approximately R219 402 199.

In addition, the NRCS confiscated 12 009 non-compliant items, including canned and frozen meat and fish products, consumables, electronics, and small household appliances, with an estimated value of R102 137 270.

Law enforcement officials also seized cash amounting to R118 400 during the operations.

A criminal case was registered in terms of the Medicines and Related Substances Act following the discovery of unregistered medication. Investigations are ongoing and no arrests have been effected at this stage.

Furthermore, illicit alcohol with an estimated value of R127 000 was seized, while counterfeit alcohol valued at R18 500 was also confiscated.

Naidoo praised the dedication and cooperation demonstrated by all participating agencies and stakeholders, noting that the success of the operation underscores the importance of an integrated law enforcement approach in addressing organised crime and illicit trade.

He said the seizure of counterfeit, illicit, and non-compliant goods sends a strong message that law enforcement agencies remain committed to protecting consumers, legitimate businesses, and the economy from criminal activities.

He said the police will continue to intensify operations aimed at disrupting criminal networks involved in the manufacturing, distribution and sale of illicit goods in the province. – SAnews.gov.za

 

0

As South Africa marks the 50th anniversary of the 1976 Youth Uprising, the Department of Women, Youth and Persons with Disabilities (DWYPD) has called on all sectors of society to intensify efforts to place young people at the centre of enterprise development, economic transformation and job creation.

The commemoration of the 1976 uprising serves as a powerful reminder of the courage, resilience and determination shown by young people in the fight against injustice and inequality. Their sacrifices paved the way for the democracy South Africa has today.

While the youth of 1976 fought for political freedom, the department noted that many young South Africans today face the challenge of attaining economic freedom through meaningful participation in the economy.

“Elevated levels of youth unemployment, poverty and inequality continue to undermine the aspirations of many young South Africans. The DWYPD believes that enterprise development is a vital pathway to unlock the potential of young people and foster sustainable livelihoods.

“Young entrepreneurs bring innovation, creativity, and technological skills necessary to fuel economic growth, develop new industries, and generate employment opportunities nationwide,” department spokesperson, Cassius Selala, said.

The department called on government departments, State-owned entities, the private sector and development finance institutions to strengthen support for youth-owned businesses through targeted investments, improved access to finance, skills training, mentorship, market access, and procurement opportunities.

The call is aligned with the objectives of the National Youth Policy, which aims to promote the meaningful economic participation of young people and position them as active contributors to South Africa’s development agenda.

“As the country commemorates 50 years since the Youth Uprisings, the legacy of the 1976 generation must translate into concrete opportunities for today’s youth. Investing in youth entrepreneurship and enterprise development is both an economic imperative and a national responsibility,” Selala said.

The DWYPD reaffirmed its committed to advancing programmes and partnerships that empower vulnerable young people, including young women, rural and township youth, young men and youth with disabilities, to participate fully in the economy and contribute to national growth and development.

“The celebration of this significant milestone should inspire renewed commitment to building an inclusive economy where young people are not merely job seekers but job creators, innovators, and leaders of South Africa’s future,” Selala said. – SAnews.gov.za

0

Nearly 39 000 foreign registered vehicles have already been registered on the South Africa Revenue Service’s (SARS) new digital Traveller Declaration System.

As of  1 June 2026 all foreign-registered vehicles must be declared on the SARS system prior to them entering or leaving South Africa.

“From today, 1 June 2026, all travellers crossing South Africa’s borders must submit an online customs declaration and declare any foreign-registered vehicles they bring into the country.

“This launch of the South African Revenue Service’s (SARS) new digital Traveller Declaration System, together with stepped-up education of customs rules at every port of entry, marks a major step in modernising border controls, streamlining legitimate trade and travel, and curbing non-compliance,” the revenue service said on Monday.

The new requirements are grounded in Section 15 of the Customs and Excise Act, 1964, which obliges travellers to declare all goods, including vehicles, when entering or leaving the country.

READ | Register your foreign registered vehicles before international travel

SARS Commissioner, Dr Johnstone Makhubu, and his senior team were on Monday on the ground at key border posts including Skilpadshek and Kopfontein Border in the North West, and Maseru Bridge and Ficksburg Bridge ports of entry in Bloemfontein to monitor implementation, support front-line officers and provide clarity to travellers as the system goes live.

“SARS is pleased that prior to today’s [Monday’s] launch; foreign registered vehicle owners.. heeded the call of registration with more than 38 900 Temporary Import Permit (TIP) issued by 31 May 2026,” said the revenue service.

Dr Makhubu used the launch to emphasise the legal basis and fairness of these requirements.

“The obligation to declare goods and vehicles at our borders is firmly rooted in South African law, which clearly states that everyone must declare everything they bring into or take out of the country. As SARS, in collaboration with other state law enforcement agencies [we] have a duty to enforce that law consistently and fairly while making it easy for honest travellers to comply,” said the Commissioner.

He noted that even vehicles from neighbouring Southern African Customs Union (SACU) countries must be declared adding that SACU arrangements facilitate trade, but they do not remove customs control.

“A vehicle registered outside South Africa remains a foreign vehicle under our law and must be declared as such. This approach ensures equal treatment and predictability at all our borders and conforms to our strategic intent of fostering voluntary compliance,” he explained.

How it works

As of 1 June 2026, all foreign-registered vehicles entering South Africa must be declared to Customs and be issued a TIP at the border, as provided by law. This includes vehicles registered in any other SACU member state.

A TIP allows a foreign vehicle to be used legally in South Africa temporarily. It is valid for up to six months at a time and can be used for multiple entries and exits within that period without needing a new permit for each trip.

In practice, foreign motorists who cross the border regularly for work, business, study or other legitimate purposes do not have to re-register the same vehicle every day, if they hold a valid TIP. 

This includes South Africans who trade regularly with a foreign country who possesses a foreign registered vehicle only on the basis that the vehicle is used for business only.

The revenue service also added that there is no fee for obtaining a TIP or for submitting an online traveller declaration, keeping compliance straightforward and free of charge.

“There is no charge for submitting a traveller declaration or for issuing a temporary import permit. Complying with the law shouldn’t impose a financial burden; we have designed these systems to be accessible to all travellers,” said the Commissioner.

To help travellers meet these requirements, all travellers must submit a simple digital declaration of their goods (and any accompanying vehicles) before travel.

This can be done via the SARS website or the SARS MobiApp on a smartphone. After pre-declaring, travellers receive a personal reference number to present at the border.

This digital process is a key part of SARS’ modernisation efforts, aimed at making border crossings smoother and more predictable. Modernisation is not about adding red tape but replacing manual, fragmented processes with digital systems that are simpler, faster and more transparent.

The Online Traveller Declaration and the SARS MobiApp allow travellers to arrive prepared, spend less time at the border and experience greater certainty.

“When travellers pre-declare and follow the rules, border processing is quicker and more predictable, and a single temporary import permit covers multiple entries. That’s a real benefit for the many commuters, traders and tourists who cross our borders regularly,” Dr Makhubu said.

Travellers who do not have access to the online system in advance are being assisted by SARS officers at ports of entry, through on-site digital kiosks and staff ready to help capture their information.

In addition, traditional border controls remain in place to verify declarations, and travellers and vehicles must still present themselves to a Customs officer and may undergo inspection if required.

The system can be accessed on : https://www.sars.gov.za/travellerdeclaration/ 
-SAnews.gov.za 
 

12

Deputy President Paul Mashatile will meet private sector leaders in Johannesburg on Thursday as government seeks to strengthen partnerships aimed at addressing funding challenges in South Africa’s response to HIV, tuberculosis (TB) and sexually transmitted infections (STIs).

The Deputy President, who chairs the South African National Aids Council (SANAC), will engage captains of industry under the banner of the SANAC Private Sector Forum (PSF) to explore ways of supporting the implementation of the country’s National Strategic Plan (NSP) for HIV, TB and STIs.

According to a joint statement issued by The Presidency and SANAC, the meeting will focus on opportunities to close funding gaps left by external donors through sustainable public-private financing models.

The engagement comes as South Africa continues to grapple with a high burden of HIV and TB despite progress in treatment and prevention programmes. 

Millions of people remain affected by the diseases, while new infections continue to be recorded.

Although the National Strategic Plan provides a framework for tackling the epidemics, challenges including funding constraints, slow progress in prevention efforts and persistently high infection rates remain.

Government said the impact of HIV and TB extends beyond public health, placing significant pressure on the economy through reduced productivity, increased healthcare costs and disruptions in labour-intensive sectors.

The meeting will also mark the formal launch of the fully constituted SANAC Private Sector Forum across all nine provinces.

Organisers said the gathering would help align commitments and expectations ahead of key national and international funding processes, including current and future replenishment cycles of the Global Fund. – SAnews.gov.za

 

2

Individuals whose identity documents (IDs) were blocked prior to November 2022, have until 10 July 2026 to submit representations to unblocking their documents, the Department of Home Affairs said.

in a statement on Monday, the department said it was launching a nationwide campaign to assist individuals whose IDs were blocked prior to November 2022 and to ensure the integrity of the National Population Register.

“In accordance with section 3 of the Promotion of Administrative Justice Act (PAJA) of 2000, affected individuals are invited to submit representations explaining why their identity numbers should be unblocked,” it said.

It added that it is committed to ensuring that all affected individuals are afforded a fair opportunity to present their case.

“Individuals with blocked IDs must visit any Home Affairs office, excluding refugee reception centres and banks, to submit representations by 10 July 2026. Failure to do so may result in the cancellation of the affected identity numbers following the completion of the administrative process,” the department said.

A number of IDs were blocked in terms of Section 19 of the Identification Act (Act no.68 of 1997), including those classified as duplicates and cases where an individual’s status requires verification. To date, 2 202 368 identity numbers have been unblocked.

Affected individuals must appear in person at any Home Affairs front office to provide written and oral representations. 

Where available, applicants should bring supporting documentation, including, but not limited to:
•    Original Birth Certificate (or handwritten birth certificate).
•    Original Clinic Card or Confirmation of Birth.
•    Copy of Hospital Register or other proof of birth.
•    Parents’ Identity Documents, Reference Books, or Death Certificates.
•    Primary School extract and a copy of the School Register.
•    House Permit or a letter from the relevant Traditional Authority.
•    Affidavit from parents or the original informant, together with a copy of the informant’s identity document.
•    Any other document that may assist in confirming your identity, citizenship, or legal status.

As part of its investigation, the department may cancel identity documents or records where it is found that they:
•    Were issued to individuals who do not qualify for inclusion in the National Population Register.
•    Contain incorrect personal particulars.
•    Were obtained through fraud, false statements, misrepresentation, or the submission of incorrect information.
•    Have been forged, altered, stolen, or otherwise unlawfully manipulated.
•    Persons fail to visit and appear in person with the required supporting documents at front offices.

The department has urged all affected individuals to respond promptly and utilise this opportunity to regularise their status.

For more information on blocked IDs, please follow the link below: https://www.dha.gov.za/index.php/civic-services/blocked-ids-26   – SAnews.gov.za

 

0