1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
zhenek [66]
3 years ago
11

Load shedding effects on the people’s lives? In South Africa

Geography
1 answer:
statuscvo [17]3 years ago
5 0

Answer:

Eskom chief operations officer, Jan Oberholzer, publicly stated that the primary reason for load shedding was due to a lack of maintenance and neglect over the preceding twelve years resulting in an unpredictable and unreliable system.

Explanation:

The year has already gotten off to an eventful start, with the South African Reserve Bank (SARB) unexpectedly cutting the repo rate by 25 basis points to 6.25%, while lowering 2020 economic growth projections down from 1.4% to 1.2%.

Of the opinion that this revised growth estimate may still be over-optimistic, Jeff Schultz, senior economist at global bank BNP Paribas South Africa, predicts another tumultuous year for the local economy.

Speaking at a BNP Paribas quarterly economic update event at Melrose Arch in Johannesburg on Monday (10 January), Schultz cited the continued electricity outages as the main reason behind this seemingly pessimistic view.

“Assuming that the first half of 2020 could see a minimum of 15-20 days of Stage 2 load-shedding, we estimate this could shave a further 0.3-0.4pp off growth, which is why we have lowered our already sub-consensus GDP growth forecast to just 0.5% from 0.8%.”

Schultz put the likelihood of a recession at between 30-40%, dependent on the state of power supply management going forward.

While noting that the recent rate cut came earlier than anticipated, Schultz said that another cut in the second half of the year cannot be ruled out.

“We think that there is still room for the SARB to make another 25bp rate cut later on this year, although timing will depend on February’s budget and the Moody’s rating decision.”

On the topic of the upcoming budget, Schultz hopes to see fiscal restraint through lower wage adjustments but also predicts a continued rise in debt ratios on low nominal GDP.

“With the primary balance adjustments likely to fall short of expectations and a weaker nominal GDP growth outlook, we think a decision by Moody to downgrade South Africa’s last remaining investment-grade credit rating is possible.

“It is our view that this downgrade of the sovereign rating will be felt more in economic confidence than in local asset prices,” he added, noting that the downgrade is already relatively well discounted by markets.

“This is not to say that there would not be forced passive selling of SAGBs owing to South Africa’s likely exit from the FTSE World Government Bond Index. However, we believe the net effect is likely to be smaller than the $5-8 billion in potential outflows that the SARB has warned about.”

With all eyes sure to be on government’s plans for South Africa’s ailing state-owned enterprises – especially the restructuring of Eskom and SAA – Schultz believes economic reform could be highly beneficial.

“We expect to see some hope on medium-term growth prospects through progress on institutional reforms and corruption prosecutions.

“However, several events in mid-2020 might contribute to an increase in political noise which might impact the speed of the process,” he said.

You might be interested in
Which of the following are tools commonly used to study economic culture?
lubasha [3.4K]

Answer: A. Literature

B. Quality of life

C. Gross domestic product

Explanation:

Economic culture can be defined as the culture of  share of relation of financial progress of a person or community with the culture or life style. The economic culture can be studied by the literature of earlier people life style and the facilities they had, that can be compared with the present day people.  Gross domestic product is the money generated by the goods and services generated by the country in a specific time constraint this will also decide the economic growth and progress of the country and directly influence the culture.

8 0
3 years ago
What will happen if all glacier melt?
olga_2 [115]

Answer:

if all glaciers melt, then sea level would increase and then the ocean will over up the whole earth or parts of it, so it is like a big flood all over the earth and it is too high.

Explanation:

8 0
3 years ago
Question 3 of 15
Leona [35]
A spanish by Francisco Pizarro… can i get a brainliest answer
4 0
2 years ago
Read 2 more answers
Why Texas is not a country and therefore not a member of OPEC, how would OPEC impact Texas?
Gelneren [198K]

Answer:

Qatar terminated its membership on 1 January 2019. This means that, currently, the Organization has a total of 13 Member Countries. The OPEC Statute distinguishes between the Founder Members and Full Members - those countries whose applications for membership have been accepted by the Conference.

Explanation:

3 0
3 years ago
Which of the following are rays on line c?
PilotLPTM [1.2K]
Show us the picture for this answer.
8 0
3 years ago
Other questions:
  • In the Rio Olympics, athletes from the country of Taiwan are
    9·1 answer
  • Do you know where this bridge is located?
    12·2 answers
  • Whats the purpose of the lines of longitude and latitude? give descriptive answer plz​
    9·1 answer
  • As commander and chief the ___ leads armed forces
    11·2 answers
  • Compared to the surrounding material, mantle plumes rise toward Earth's surface from the core-mantle boundary because they are _
    10·1 answer
  • Siberia has experienced many environmental problems because of _____.
    6·2 answers
  • Washing dc lies between maryland and virginia, in which region does the nations capital belong
    11·1 answer
  • Why might some civilizations not have been part of the Neolithic Revolution?
    13·1 answer
  • 2. Which state has the highest density?<br><br> 3. Which state has the lowest density?
    14·2 answers
  • What can we do about global, national and local issues?
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!