Business leaders fear that South Africa risks becoming a failed state

, the electricity utility, have surpassed those of 2022, hitherto the worst year on record . Businesses are planning for the total collapse of the grid. “If this crisis continues, we will not be able to guarantee stable supplies of food, medicines and other essential goods,” wrote retail bosses in a letter to the president in February.

Yet today’s crises cannot be solved with a quiet word. Bosses typically cite three issues: power, logistics and crime. Last year power cuts may have reducedby 7-8%; 2023 could be even darker. The blackouts caused South Africa to go from being the most reliable among’s 19 African networks at the start of 2022 to possibly the worst a year later. The largest supermarket chain says spending on diesel for generators cut profits by 7% in 2022.

Last year a new unit, sitting in the presidency, was set up to reform the electricity industry. In March Mr Ramaphosa said that the private sector would pay into the Resource Mobilisation Fund , a whip-round designed to hire outside consultants. Themay well pay for a private team to try to reform logistics, too. “The aim is to create a parallel system of institutions to make things work in the moment,” says Morris Mthombeni of Gordon Institute of Business Science, based in Johannesburg.

Mr de Ruyter argues that business is still too timid when it comes to calling out corruption. After he was poisoned he was “disappointed” by the reaction of other business leaders, many of whom sent private messages but stayed quiet in public. “But that’s the culture,” he sighs.is unfixable you can’t fix the country’s problems.” The ruling party, he explains, is “fundamentally statist”. The situation is so dire, he contends, that society could “explode at any minute”.

United Kingdom United Kingdom Latest News, United Kingdom United Kingdom Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

18-strong gang steal £90k worth of e-cigarettes and vapes after breaking into business£90k worth of e-cigarettes and vapes were stolen after an 18-strong gang forced their way into a business in Darwen.
Source: leponline - 🏆 50. / 63 Read more »

Better Business Summit: Empowering sustainability in a changing social landscapeBringing together entrepreneurs who are daring to do things differently, in the name of environmental, social and ethical sustainability 🌍
Source: thelincolnite - 🏆 121. / 51 Read more »

Fire crews tackle blaze at Rushden business premisesThe fire service says crews are putting out the flames 'as quickly and safely as possible'.
Source: BBCNorthampton - 🏆 32. / 68 Read more »