• You are not registered on MyBroadband, which means you miss out on great benefits. To join our community is very easy, and completely free. Register now.
  • New Two-Day Giveaway - Enter Here

China gifts SA with R370bn

Chris_the_Brit

Grand Master of the Friendzone
Joined
Mar 6, 2004
Messages
23,809
#1
President Cyril Ramaphosa has secured nearly R370-billion in financing from the Chinese government towards an economic stimulus package.

The massive financial input is expected to largely fund government’s planned financial stimulus, speed up infrastructure development and rapidly increase the rate of South Africa’s industrialisation.

International Relations and Co-operation Minister Lindiwe Sisulu said government had initially been very cautious about accepting financial assistance from China but had come to the realisation there was “no way we can grow our economy on our own”.

Sisulu was part of the South African delegation at the Forum on China–Africa Co-operation last week. The minister said South Africa needed to access finance that would help it grow the economy faster and China, whose interest rates are not exorbitant, was available.

Of the $60-billion China pledged towards Africa to finance key development projects, $15-billion is earmarked for South Africa. Following Ramaphosa’s visit to Beijing, a further $10-billion has been secured.

As a response to the economic downturn, the economic cluster has been tasked with providing a concrete turnaround plan for the South African economy.
Government insiders told the Mail & Guardian Ramaphosa was unimpressed with the presentation made by ministers in the economic cluster this week as he was not convinced that the proposed measures would be able to resuscitate the economy.

Government leaders have been working on developing a model for the stimulus packages since Ramaphosa announced their planned rollout in August. A clear plan on how the packages will be structured is expected to be announced during the medium- term budget speech in October.
https://mg.co.za/article/2018-09-14-00-china-gifts-sa-with-r370bn
 

Chris_the_Brit

Grand Master of the Friendzone
Joined
Mar 6, 2004
Messages
23,809
#3
"Gifts" you say...what an odd choice of words. When SA gets into a state where it cannot pay back the loan, the Chinese will swoop in and SA government will be forced to sell assets.

Perhaps not a bad thing in the long-term if the Chinese get rid of the cadres running the SOEs...
 
Joined
Aug 27, 2015
Messages
3,869
#4
"Gifts" you say...what an odd choice of words. When SA gets into a state where it cannot pay back the loan, the Chinese will swoop in and SA government will be forced to sell assets.

Perhaps not a bad thing in the long-term if the Chinese get rid of the cadres running the SOEs...
No thanks.

Rather deal with anc
 

thechamp

Honorary Master
Joined
Feb 26, 2011
Messages
12,823
#8
"Gifts" you say...what an odd choice of words. When SA gets into a state where it cannot pay back the loan, the Chinese will swoop in and SA government will be forced to sell assets.

Perhaps not a bad thing in the long-term if the Chinese get rid of the cadres running the SOEs.
..
Cyril and Pravin are already taking care of that.
 
Joined
Apr 8, 2006
Messages
57,352
#10
So instead of using it to settle debt so big government keeps on burning money to keep them afloat by borrowing more. They decide to invest in other ventures while we will keep on borrowing and paying interest on failing SOEs...
 

thestaggy

Honorary Master
Joined
May 11, 2011
Messages
11,343
#11
And so it begins.

What will be giving them in return (there are no free ''gifts'' where the Chinese are concerned)? Mining rights? Farm land sitting on a mineral deposit? Votes at the UN? A port?

Government insiders told the Mail & Guardian Ramaphosa was unimpressed with the presentation made by ministers in the economic cluster this week as he was not convinced that the proposed measures would be able to resuscitate the economy.
That tells you everything you need to now. The ANC don't have a solution to the mess they've created so they're just going to throw more money at it until everything crashes and burns.
 

Ancalagon

Honorary Master
Joined
Feb 23, 2010
Messages
14,395
#12
They could either trim the fat, get rid of corrupt cadres and slim down the SOEs. Slim down the public sector wage budget.

Instead they chose to borrow more money.

But they know what would happen if they suddenly announced that 50% of Eskom would be retrenched - riots in the streets.
 

Knyro

Honorary Master
Joined
Jul 5, 2010
Messages
26,276
#13
"Gifts" you say...what an odd choice of words. When SA gets into a state where it cannot pay back the loan, the Chinese will swoop in and SA government will be forced to sell assets.

Perhaps not a bad thing in the long-term if the Chinese get rid of the cadres running the SOEs...
If we get to a state where we cannot pay back the loan, we'll have far bigger problems than the government being forced to sell assets.
 

thestaggy

Honorary Master
Joined
May 11, 2011
Messages
11,343
#18
But they know what would happen if they suddenly announced that 50% of Eskom would be retrenched - riots in the streets.
Unfortunately the ANC have gotten us to the point where the only way to fix the mess will be painful. There are no longer quick, painless fixes.

If we ever do get a new government they will have to reverse 3 decades+ (ANC will win in 2019, giving them at least 30-years in power) of degradation wrought by the ANC before they can start fixing the pre-1994 imbalances. They have ****ed this country good and proper.

And now they have saddled us with even more debt. Bottom line; the ANC have failed and they need to get out ASAP for this country to have any chance.

essentially yes...keep the music going.
Where's our French friend? He needs to see that.
 

namzsteve

Expert Member
Joined
Oct 12, 2012
Messages
1,403
#20
What a blessee of a useless country. Our leaders are the most stupid people to have ever lived. I hope one day they all don't make it into heaven with all the crap they've caused to innocent people. My goodness!!!
 
Top