Opinion - There have been several developments in the past few days that have made me realise that life in South Africa is going to get worse before it gets better.
The first was media reports that Johann Rupert was reconsidering his future in South Africa.
He won’t be the first person to leave. Thousands have done so since democracy.
However, what makes this case different are the reasons that have made Rupert consider leaving.
While many quit because they did not want to live under a black government, Rupert thinks our country will be bankrupt within a year and large-scale riots will break out.
He is one of the richest men in South Africa. He counts his wealth not in millions but billions. And that’s dollars. Take away the taxes he and his companies pay and our country will be poorer.
Then came news that the ratings agencies were losing their patience with us. It doesn’t matter what you think about ratings agencies, those with money listen to them.
When Fitch decided to change its outlook for
South Africa from stable to negative it was a matter
of concern.
Put differently, Fitch does not believe South Africa is the place people should invest in. The result was that the rand is now more than R14 to the dollar.
You and I will feel the impact of that when petrol goes up in the coming days and weeks.
A weaker rand fuels inflation and that could bring an abrupt end to the Reserve Bank’s plan to cut
interest rates which many hoped would help boost
the economy.
On Monday, there was another worrisome development when Judge Sulet Potterill ruled in favour of Minister of Public Enterprises Pravin Gordhan and against Public Protector advocate Busisiwe Mkhwebane.
It was the latest in a string of legal setbacks for the public protector.
But her supporters, including the EFF, chose to attack the judge. Their logic was race based. Mkhwebane was being undermined because she was a black woman. The judge ruled as she did because she was white. All it did was undermine an important institution in our democracy.
What do we do?
Starting today, I have invited Kanthan Pillay to write for us. His column, Juggernaut, will aim to help us understand what’s happening and provide direction. I invite you to also engage.
And I encourage you to read page eight which deals with saving money. There’s going to be a lot less circulating in the months ahead and you need to have contingencies in place.
Finally, focus on the next generation. Equip them to survive in the world they are going inherit and not the world you live in.