First transfer of SABC bailout billions to be done on Monday
On Friday Communications Minister Stella Ndabeni-Abrahams announced the struggling public broadcaster has been given a R3.2 billion lifeline by the national treasury.
CAPE TOWN – On Monday the South African Broadcasting Corporation (SABC) will join a growing list of state owned enterprises that have received a government bailout in the last year.
The struggling public broadcaster has been given a R3.2 billion lifeline by the national treasury.
Communications Minister Stella Ndabeni Abrahams confirmed on Friday that the public broadcaster had met most of treasury's pre-conditions, and that the first trench would be paid next week.
Bailouts have become the norm in the country's state-owned entities with the SABC joining a familiar group.
Ndabeni Abrahams confirmed the public broadcaster will receive the first funds on Monday.
“The two departments have worked together to facilitate the initial trench of the R3.2 billion transfer to the SABC. As such, R2.1 billion will be transferred to the public broadcaster on Monday, 7 October 2019.”
The remaining R1.1 billion will be transferred once all pre-conditions have been met.
From public broadcaster to the national carrier – South African Airways wants R4 billion just to stay afloat this financial year.
Last month SA Express chief executive Siza Mzimela told Members of Parliament that the national treasury had approved a R300 million bailout of the struggling, regional state-owned airline.
Parliament is also considering a bill that would see Eskom being allocated R59 billion over the next three years.
And earlier this year, Denel got a R1.8 billion bailout from the South African tax payer after its cash crunch got so bad that it couldn't make payroll.