Business leaders in South Africa have warned President Cyril Ramaphosa that the country’s unemployment rate could rise to 38.1% by 2030 if urgent action is not taken to address the energy, logistics, and crime crises.
The current unemployment rate is already at 32.9%, one of the highest among more than 80 nations tracked by Bloomberg.
On 20 July 2023, an Eskom employee was arrested on corruption charges related to tender irregularities at the Kriel power station.
Former Eskom COO Jan Oberholzer has highlighted crime and corruption as significant challenges at the power utility. He believes that addressing these issues is essential for Eskom to function optimally.
The Special Investigating Unit (SIU) is expanding its investigations into corruption at Eskom, including contractors and private companies involved.
The investigations have grown as more corruption is uncovered, ranging from employee-related cases to coal contracts, sabotage, and power station construction, including projects like Medupi and Kusile.
According to Investec economist Lara Hodes, wealthy and skilled individuals are leaving South Africa due to concerns about crime, power cuts, political uncertainty, and economic challenges.