Investors grill Treasury officials on policy, SOEs, leadership

Deputy Finance Minister Mondli Gungubele says he was surprised to hear that the international community knows the state of affairs at state-owned enterprises.

Deputy Finance Minister Mondli Gungubele is at a business dialogue in Sandton on 22 March 2018. Picture: Mia Lindeque/EWN

JOHANNESBURG - With Moody’s expected to announce its credit rating review in less than 24 hours, the National Treasury says it’s also been fielding tough questions by the international community concerning policy and leadership changes.

Deputy Finance Minister Mondli Gungubele is attending a business dialogue with the World Bank Group in Sandton on Thursday morning.

Gungubele says he was surprised to hear that the international community knows the state of affairs at state-owned enterprises.

“They’ve got detailed knowledge about the state of South Africa and I was embarrassed when they said some of the things about Eskom, which I thought I knew better during inquiries and they told us the details. They gave us the anatomy, the liquidity of SOEs in general and of course wage agreements.”

Meanwhile, the National Treasury says that government is anxious, but positive, ahead of a decision by ratings agency Moody's on the country's economy.

Friday's credit review announcemnet will be the first since Cyril Ramaphosa became president and announced his Cabinet.

Gungubele says that while on a road show in London last week, government representatives had an opportunity to speak to most of the rating agencies.

He says that the discussions were frank and that South Africa was honest about its current situation.

This comes amid uncertainty over land expropriation without compensation, but also new promises by Ramaphosa to get rid of corruption in government departments.