ADVERTISEMENT
  • The Membership Club
  • PT Hausa
  • About Us
  • Advert Rates
  • Careers
  • Contact Us
Sunday, March 7, 2021
Premium Times Nigeria
  • Home
  • COVID-19
  • News
    • Headline Stories
    • Top News
    • More News
    • Foreign
  • Investigations
  • Business
    • News Reports
    • Financial Inclusion
    • Analysis and Data
    • Business Specials
    • Opinion
    • Oil/Gas Reports
      • FAAC Reports
      • Revenue
  • Opinion
  • Health
    • News Reports
    • Investigations
    • Data and Infographics
    • Health Specials
    • Features
    • Events
    • Primary Health Tracker
  • Agriculture
    • News Report
    • Research & Innovation
    • Data & Infographics
    • Special Reports/Features
    • Investigations
    • Interviews
    • Markets
  • Arts/Life
    • Arts/Books
    • Kannywood
    • Lifestyle
    • Music
    • Nollywood
    • Travel
  • Sports
    • Football
    • More Sports News
    • Sports Features
  • Projects
    • Parliament Watch
    • Panama Papers
    • Paradise Papers
    • AGAHRIN
  • Home
  • COVID-19
  • News
    • Headline Stories
    • Top News
    • More News
    • Foreign
  • Investigations
  • Business
    • News Reports
    • Financial Inclusion
    • Analysis and Data
    • Business Specials
    • Opinion
    • Oil/Gas Reports
      • FAAC Reports
      • Revenue
  • Opinion
  • Health
    • News Reports
    • Investigations
    • Data and Infographics
    • Health Specials
    • Features
    • Events
    • Primary Health Tracker
  • Agriculture
    • News Report
    • Research & Innovation
    • Data & Infographics
    • Special Reports/Features
    • Investigations
    • Interviews
    • Markets
  • Arts/Life
    • Arts/Books
    • Kannywood
    • Lifestyle
    • Music
    • Nollywood
    • Travel
  • Sports
    • Football
    • More Sports News
    • Sports Features
  • Projects
    • Parliament Watch
    • Panama Papers
    • Paradise Papers
    • AGAHRIN
Premium Times Nigeria
BUA Group Ad BUA Group Ad BUA Group Ad
ADVERTISEMENT
South Africa on map

South Africa on map

South Africa: Dark Times Ahead? Cash-Strapped Power Utility Needs Massive Govt Bailout

byallAfrica
December 5, 2018
1 min read

RelatedNews

CBN says new scheme will ease diaspora remittances

VIDEO: COVID-19 vaccine offers hope for a safe country, free of Coronavirus – Buhari

UFC: Nigeria’s Israel Adesanya set for epic MMA clash

Lessons Niger Delta leaders must learn from Buhari – IYC president

ADVERTISEMENT
By Andre van Wyk

Cape Town — In light of festive season power cuts, Eskom’s woes continue to mount. The embattled power utility plans to ask the government to absorb about R100 billion – nearly U.S.$7.2 Billion – of its debt in order to rescue it from bankruptcy, according to a Business Day report.

This would have a negative impact on credit rating agencies like Moody’s and Standard & Poor’s as a bailout of that scale would add 2% to the government’s debt-to-GDP ratio.

According to The Citizen, Eskom currently has a debt guarantee to the value of R350 billion – about U.S.$25 billion. This has been flagged as the biggest risk to the fiscus and ensures the state-owned entity remains operational despite heavy strain on the Treasury.

While the government has not received any formal proposal from Eskom yet, Chairman Jabu Mabuza mentioned the need for the bailout in an interview during an investor roadshow, Fin24 reports.

National Treasury spokesman Jabulani Sikhakhane said that any proposition for debt relief will have to be assessed in the context of Eskom’s planned turnaround strategy for 2019, which the power utility is expected to present soon.

Hopes of a bailout getting the green light from Tito Mboweni may end up dashed after the Finance Minister said in an interview during the G20 Summit that Eskom “must go to the market and raise money”, Tech Central reports.

Mboweni added: “We are going to reconfigure state-owned enterprises and I further said there will be no holy cows in the process … It’s very clear that it cannot be business as usual and we have to take bold steps to move the country forward. The fiscus is not in a position to continue pouring money into assets which are not productive. This is like pouring water into a sieve and hoping that its going to fill up.”

  • WhatsApp
  • Tweet
  • Email
  • Print
  • Telegram
  • More
  • Share on Tumblr
  • Pocket

Support PREMIUM TIMES' journalism of integrity and credibility

Good journalism costs a lot of money. Yet only good journalism can ensure the possibility of a good society, an accountable democracy, and a transparent government.

For continued free access to the best investigative journalism in the country we ask you to consider making a modest support to this noble endeavour.

By contributing to PREMIUM TIMES, you are helping to sustain a journalism of relevance and ensuring it remains free and available to all.

Donate


TEXT AD: To advertise here . Call Willie +2347088095401...



JOIN THE CONVERSATION

  • Disqus (0)
premiumtimes



PT Mag Campaign AD

Previous Post

Increase Family Planning funding, Gates Foundation advises Nigerian govt

Next Post

I never attacked Ilorin Emirate – Lai Muhammed

allAfrica

allAfrica

More News

Governor Babagana Zulum with children of Internally Displaced Persons (IDPs) [PHOTO CREDIT: @GovBorno]

Borno Govt uncovers fake IDPs in Maiduguri

March 7, 2021
Justice Sylvester Ngwuta

Supreme Court judge, Ngwuta, is dead

March 7, 2021
ARMY: Nigerian Soldiers (Army) on duty. [PHOTO CREDIT: The Guardian]

Travellers stranded on Maiduguri-Damaturu highway as Boko Haram attacks military base

March 7, 2021
former Secretary General of the Commonwealth, Emeka Anyaoku. [Photo credit: Qed.ng]

Anyaoku, Sanusi, Soyinka, Sultan, others discuss saving Nigeria from collapse

March 7, 2021
President Buhari at Security council meeting. [PHOTO CREDIT: Presidency Twitter handle]

Review: What Buhari, Osinbajo did last week

March 7, 2021
APC Secretariat

APC wins Jigawa Assembly bye-election

March 7, 2021
Next Post
Nigeria’s Information minister, Lai Mohammed said Nigerians not cooperating over measures to stop the Coronavirus spread

I never attacked Ilorin Emirate - Lai Muhammed

U.S. President Donald Trump (R) and Russia President Vladimir Putin (L) [Photo: NAN]

Russia will make banned missiles if U.S. exits arms treaty - Putin

Discussion about this post

Search

#EndSARS: Latest Updates




Polaris Bank


JAIZ Ad


Access Bank Ad


NITDA Ad





Glo Ad

Subscribe to News via Email

Enter your email address and receive notifications of news by email.

Join 1,630,166 other subscribers.

Advertisement






netherland biz school Advert



Zenith Advert

ADVERTISEMENT

Our Digital Network

  • PT Hausa
  • Election Centre
  • Human Trafficking Investigation
  • Centre for Investigative Journalism
  • National Conference
  • Press Attack Tracker
  • PT Academy
  • Dubawa
  • LeaksNG
  • Campus Reporter

Resources

  • Oil & Gas Facts
  • List of Universities in Nigeria
  • LIST: Federal Unity Colleges in Nigeria
  • NYSC Orientation Camps in Nigeria
  • Nigeria’s Federal/States’ Budgets since 2005
  • Malabu Scandal Thread
  • World Cup 2018
  • Panama Papers Game
  • Our Digital Network
  • About Us
  • Resources
  • Projects
  • Data & Infographics
  • DONATE

All content is Copyrighted © 2020 The Premium Times, Nigeria

No Result
View All Result
  • Home
  • COVID-19
  • News
    • Headline Stories
    • Top News
    • More News
    • Foreign
  • Investigations
  • Business
    • News Reports
    • Financial Inclusion
    • Analysis and Data
    • Business Specials
    • Opinion
    • Oil/Gas Reports
      • FAAC Reports
      • Revenue
  • Health
    • News Reports
    • Investigations
    • Data and Infographics
    • Health Specials
    • Features
    • Events
    • Primary Health Tracker
  • Agriculture
    • News Report
    • Research & Innovation
    • Data & Infographics
    • Special Reports/Features
    • Investigations
    • Interviews
    • Markets
  • Arts/Life
    • Arts/Books
    • Kannywood
    • Lifestyle
    • Music
    • Nollywood
    • Travel
  • Sports
    • Football
    • More Sports News
    • Sports Features
  • Projects
    • Panama Papers
    • Paradise Papers
    • Parliament Watch
    • AGAHRIN
  • Opinion
  • PT Hausa
  • The Membership Club
  • Dubawa
    • Dubawa NG
  • About Us
  • Advert Rates
  • Careers
  • Contact Us
  • Digital Store
  • DONATE

All content is Copyrighted © 2020 The Premium Times, Nigeria

Our website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
loading Cancel
Post was not sent - check your email addresses!
Email check failed, please try again
Sorry, your blog cannot share posts by email.