Capital flowing out of South Africa's equity and bond markets

[RiaX]

What about just buying dollars with a shyft account ?

 

[Pak Fa Fui]

Relatives overseas?
1. Dump all funds in your current/savings account;
2.. Open bank account in selected country;
3. Buy plane ticket (and take maximum allowance in traveller cheques);
4. Swipe card for every single expense that relative would normally incur, eg school fees, groceries, booze, car maintenance, entertainment, etc.
5. Relative reimburses all your payments into above-mentioned account;
6. Return home with very depleted bank account

... says a friend ...

So you have $3000 in a US bank account then what

 

[Supervan II]

So you have $3000 in a US bank account then what

"Spend" more, silly!

 

[Mike Hoxbig]

More likely like Zimbabwe - R200-R300 to the Dollar. But, since SA is worse off than Zimbabwe, it would be more like R600-R800 to the Dollar.

Since we're worse off, you should move to Zimbabwe...

 

[me_]

I think a lot of the statements here about moving money out are misguided. What we are seeing globally is dollar strength rather than Rand weakness. If you check Rand vs other currencies, it's largely flat.

GBP is flat over the last year - slightly up in the last couple of weeks, but that's due to volatility after financial policy disaster and reserve bank interfering to stabilise things. Expect GBP to fall over the coming months

JPY is down over the last year - even with their reserve bank selling US treasuries to pump up their currency

EUR is up just a little bit (5%)

AUD is up a little bit, but not for long... They were up quite a lot, but couldn't follow the US with the last interest rate hike for fear of crashing their housing market. Due to this, most of the gains have been lost and I wouldn't be surprised if they lose all gains in the near future

CNY has gained the most (10%), but they are selling lots of US treasuries to pump up their currency, they can't do this forever

As far as capital flows goes, this is typical for any financial crisis - investors from first world countries need to get cash so they start selling their riskiest assets. This usually results in currencies of developing economies crashing against all major currencies as capital leaves and then spending the next year or so clawing back the fair value.
It's possible that the Rand has yet to crash against other currencies, but so far it's been performing well.

 

[roadcat]

Different toilet, same crap.

Really? Hasn’t been my experience at all. There is certainly different crap, but definitely not the same.

 

[saturnz]

The US bond market is also seeing capital move out, this is not a South African thing.

 

[Sledgehammer67]

The ANC elite has no fcucking idea what they're facing, they are completely mindless and have been for the last almost three decades, what these Aholes do not comprehend is there is no such a thing as: 'All authority but no responsibility'...

 

[mastercylinder]

You are about to become a Zim billionaire/trillionaire, Master Sir!

Already am.

 

[TheMightyQuinn]

Relatives overseas?
1. Dump all funds in your current/savings account;
2.. Open bank account in selected country;
3. Buy plane ticket (and take maximum allowance in traveller cheques);
4. Swipe card for every single expense that relative would normally incur, eg school fees, groceries, booze, car maintenance, entertainment, etc.
5. Relative reimburses all your payments into above-mentioned account;
6. Return home with very depleted bank account

... says a friend ...

Jirre what??

1 and 2 yes. Then just do a bank transfer after setting your new overseas account up as a standard beneficiary in your local banking.

You can transfer R1bar per person per year...it is just linked to your Tax number so that the Reserve Bank kan keep track of the amounts.

As simple as that.

 

[2023]

Will you donate me the funds to go?

Just managed to scrape enough funds for myself. Now I need a work visa from somewhere...

 

[2023]

Jirre what??

1 and 2 yes. Then just do a bank transfer after setting your new overseas account up as a standard beneficiary in your local banking.

You can transfer R1bar per person per year...it is just linked to your Tax number so that the Reserve Bank kan keep track of the amounts.

As simple as that.

Does it matter who the account owner is? For example I have 2 bar in MY account, can I claim 1bar is me and 1 bar is wife and then just transfer the 2bar in one go?

 

[TheMightyQuinn]

Does it matter who the account owner is? For example I have 2 bar in MY account, can I claim 1bar is me and 1 bar is wife and then just transfer the 2bar in one go?

No. Move the money to her account. She also sets up the same overseas account as beneficiary.

Then she uses HER personal annual allowance. When you make the actual transfer, you choose your personal allowance as the transfer "code" or option. A drop down menu then shows YOUR/HER personal Tax number and you transfer the funds against that.

 

[j4ck455]

What is the best way to have your money flee south africa...?

Asking for a friend.

Donate your money to the cANCer or EFFoff putties and it will magically leave the country within minutes and end up in the offshore (probably Dubai) account (or under an offshore, probably Dubai, sofa cushion) of some bigwig.

 

[deweyzeph]

What about just buying dollars with a shyft account ?

The problem with keeping your dollars in Shyft is that they are still locally domiciled, which means the government can force you to convert them to rands at any time, or expropriate them. Far better to keep your dollars or pounds in a proper offshore account where the government can't touch them.

 

["D"]

It's illegal to take Kruger rands out of the country or so I'm told

I was told that it is illegal to take Kruger rands into the Kruger Park, with the exception of Kruger Day ... but this guy, a preacher no less, looked a bit jumpy/sketchy.

I think a lot of the statements here about moving money out are misguided.

Oh ... OK.

 

[hj007]

The problem with keeping your dollars in Shyft is that they are still locally domiciled, which means the government can force you to convert them to rands at any time, or expropriate them. Far better to keep your dollars or pounds in a proper offshore account where the government can't touch them.

I worry about this greylisting and what it'll mean for proper offshore accounts... Even if you have foreign passport, you still SA tax resident... Will greylist impact based on tax residency or citizenship.

And you may still have issues getting money to or from the account once greylist in place.