The South African rand remained relatively stable in early trading on Friday as investors awaited the release of monthly data from the central bank, the revenue service, and the National Treasury for insights into the health of Africa’s largest economy.
The rand was trading at 16.2275 against the dollar, slightly changed from its previous close of 16.2375.
The South African Reserve Bank is set to release data on money supply and private sector credit figures for April.
Economists at Nedbank forecast that the annual growth in private sector credit is expected to decline from 8.5% in March to 8.2% in April, likely due to the many public holidays in April, which may have reduced economic activity.
Later in the day, South Africa’s revenue service and the National Treasury are anticipated to publish trade and budget balance data, respectively.
Investec economists suggested that the trade account is likely to remain in surplus in April, although it may narrow somewhat.
On the Johannesburg Stock Exchange, the Top-40 index was up 0.3% in early trading.
South Africa’s benchmark 2035 government bond also showed improvement, with the yield decreasing by 6.5 basis points to 8.39%.
On Saturday, 30 May, the rand is trading at R16.26 to the dollar, R21.85 to the pound, and R18.93 to the euro. Gold is trading at $4,539.76 an ounce, while oil prices are at $91.12 a barrel.
5 important things happening in South Africa today
City of Joburg secures R3.8 billion loan: The City of Johannesburg has secured a R3.8 billion loan from the German development bank KfW. This loan aims to revamp and modernise the city’s struggling electricity network. [ENCA]
Potential new tax on the cards for vehicle license renewals: Transport Minister Barbara Creecy announced plans to introduce a new fee for motorists renewing their vehicle license discs to support the Road Accident Fund (RAF) as electric vehicle (EV) adoption increases in South Africa. [MyBroadband]
Big changes for major diamond company: Petra Diamonds is restructuring one of its mines and considering job cuts across the company due to falling diamond prices and a strong rand affecting earnings and liquidity [Daily Investor]
Eskom deploys forensic experts to fight corruption: Eskom is mounting a response to criminal activity within its workforce by engaging expert consultants to provide specialised forensic services that are not currently available within the organisation. [TimesLive]
20 areas in the Western Cape still without power: Eskom has restored power to 86% of areas affected by recent storms in the Western Cape. However, twenty areas across four municipalities, including parts of the Overberg, remain without electricity. [EWN]
