Staff Reporter – The Zimbabwe Daily

Johannesburg, South Africa – The recently unveiled US$4.3 billion loan from the International Monetary Fund (IMF) has created a lot of contention within the South African midst.

Although the loan is aimed at stimulating part of the country’s US$30 billion COVID-19 economic package, many have seen it as a wrong turn by the government.

“We are not in approval of the IMF loan because we look at the history of their loans in Africa with their structural adjustment programs which cripple country’s economies like in the case of Zimbabwe.

These structural adjustment programs also create dictatorships. Another thing, loans of this magnitude tend to spill out to other future generations so this IMF loan is  not a victory,” said Alex Mashilo, South African Communist Party (SACP)’s national spokesperson.

The third largest political party in the country, the Economic Freedom Fighters (EFF) said in a statement that this was the “biggest political blunder the ANC has made since 1994.”

Lumkile Mondi a senior lecturer at the School of Economics and Business Science at the University of the Witwatersrand also castigated the move and highlighted that corruption was looming, “the ANC is on a looting spree.”

However, National Treasury director-general Dondo Mogajane, said the loan was going to serve its purpose as they will be keeping a close eye on it.

Staff Reporter – The Zimbabwe Daily

Pretoria, South Africa – Prof. Salim Abdool Karim, chairperson of the Covid-19 ministerial advisory committee has attributed South Africa’s low COVID-19 mortality rate to the youthful nature of much of the country’s population.

More than a third of the country’s populace are youths, which has relatively contributed in the low COVID-19 mortality rate as youths are not that susceptible to COVID-19.

Although the country ranks fifth in the world in terms of COVID-19 cases with close to 450 000 recorded, the COVID-19 mortality rate is far much lower at just under 7 000 with a recovery rate of close to 60 percent.

“The reason why we have a low COVID-19 mortality rate is because of our youthful population, also prior to the lockdown, we made sure we had enough beds and ventilators,” said Prof. Karim.

South Africa is expected to reach its COVID-19 peak beginning next month until the end of September.

Staff Reporter – The Zimbabwe Daily

Pretoria, South Africa – Yesterday President Cyril Ramaphosa announced the closure of  public schools for four weeks.

Prior to the announcement, all schools were allowed to reopen on the eight of June through a gradual phasing in of grades but due to public outcry as a result of  COVID-19 which has infected 408 052 with 6 093 succumbing to it, the President saw it befitting to temporarily close all public schools.

“The health and wellbeing of learners and educators is critical. The Ministry of Basic Education met with more than 60 stakeholders although it was difficult to find a consensus we have decided that all public schools should close for four weeks from the 24th of July to the 27th of August.

Grade 7 and 12 learners will close on the 27th of this month. Grade 12 learners will have a one week break and return back on the third of August and grade 7 learners will have a two week break and come back on the 10th of August.

The academic year will also be extended beyond 2020. We want to make sure schools don’t become areas of transmission,” said the President.

Although many parents were calling for government to follow in the footsteps of countries like Kenya and Nigeria which have already suspended their 2020 academic year, contentions have now risen on why only public schools should be temporarily closed whilst the private schools remain open.

However, Hubert Mweli, Director-General of the Department of Basic Education said there wasn’t anything sinister about the President’s announcement.

“There are 23 400 public schools and 1 800 private schools. The issue of inequality has always been there and it won’t be solved in a week or two.

Moreso, the academic calendar of private schools is different from public schools and some of the private schools had already gone on a two week break prior to the President’s announcement.

Another issue, the private schools are unable to pay salaries if they remain closed which is a different setup with public schools.

We also realised that schools cannot be entirely closed as they will be prone to vandalism plus the feeding scheme has to continue,” said the Director-General.

However, National Professional Teachers’ Organisation of South Africa (NAPTOSA)’s  Executive Director, Basil Manuel and the General Secretary of the National Association of School Governing Bodies (NASGB), Matakanye Matakanya said they will be seeking further clarity from the Minister of Basic Education, Angie Motshekga.

Pretoria, South Africa

Yesterday, Lesetja  Kganyago, Governor of the South African Reserve Bank (SARB) announced the cut in interest rates by another 25 basis points.

To date, the SARB has had to cut interest rates by 300 basis points due to the economic impact of COVID-19.

Although the measures taken by the SARB are of a relief to many creditors, some of the country’s economists wanted the SARB to implement more measures.

“It’s a very disappointing move by the SARB for the interest rates not to be adjusted in accordance with the inflation rate it is not right.

The move is not going to do much to revive our economy. Interest rates should actually come lower to the level of our inflation rate or drop it to zero. It’s just a matter of austerity by the Reserve Bank.

I also believe it’s now time for the  Reserve Bank to introduce quantitative easing, there is no resurgent inflation associated with that,” said economist, Duma Gqubule.

Another economist, Isaac Matshego, also said the SARB’s stance on interest rates was not going to assist much of the economic crisis in the country.

“The move by Governor Kganyago is not going to last for a long period. People are losing jobs and unemployment is surging this should be the main point of focus,” said Matshego.