JOHANNESBURG - South Africa’s finance ministry authorised the transfer of R5 billion to struggling state power firm Eskom on 2 April "to avert a default by Eskom on its obligations," according to a finance ministry report to parliament seen by Reuters.
The R5 billion transfer falls within the R23 billion a year bailout the South African has government has agreed to give Eskom over the next three years. The finance ministry report, dated 16 April and signed by Finance Minister Tito Mboweni, also said Eskom could need another tranche of government money before the end of the month.
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