Finance News Update | 15 May 2026

General Headlines

Ramaphosa reaffirms support for BEE policies

President Cyril Ramaphosa has strongly defended Black Economic Empowerment (BEE), arguing that criticism of the policy is misplaced and overlooks its role in broadening economic participation among black South Africans. He described much of the opposition to BEE as based on misconceptions and political rhetoric. Ramaphosa further noted that the private sector has not invested sufficiently in the country’s economy and reiterated government’s position that BEE remains an important mechanism for creating inclusive participation across all sectors of the economy. EWN

South African municipalities continue to struggle financially

Financial management across South African municipalities remains under severe pressure, with wasteful expenditure rising to R268.13 billion. Ongoing non-compliance with supply chain management regulations remains a major concern, as numerous municipalities continue to operate without updated or formalised procurement policies. In the 2024/2025 financial year, only 127 municipalities — representing 49% — had proper delegation systems in place, despite these structures being essential for governance, accountability, and efficient service delivery. Business Day

Western Cape farmers assess damage following severe floods

Farmers in the Western Cape are counting substantial losses after days of torrential rainfall and strong winds caused widespread destruction across the province. The adverse weather conditions resulted in damage to crops, livestock, and critical infrastructure, while also claiming up to 10 lives. The City of Cape Town reported that more than 83,000 residents have been affected by the disaster. Humanitarian relief operations remain underway as authorities continue to support impacted communities. Current assessments indicate that approximately 83,184 people across 21,546 households have been affected by the flooding and severe weather conditions. Business Day

Markets & Investments

Market and Stock Highlight

The rand weakened against a firmer US dollar on Thursday as investors closely monitored developments surrounding a meeting between US President Donald Trump and Chinese President Xi Jinping in Beijing. The local currency traded at 16.4499 to the dollar, reflecting a decline of roughly 0.3% from its previous close.

As a risk-sensitive emerging market currency, the rand continues to react strongly to global economic developments alongside domestic data releases. Statistics South Africa reported that mining production increased by 2.5% year-on-year in March, slowing from the 9.7% growth recorded in February. The latest figure also came in below analysts’ expectations of 4.1%, according to a Reuters survey. BusinessTech

Property & Real Assets

Millionaires leaving South Africa’s wealthiest city amid growing concerns

The City of Johannesburg’s deteriorating financial position is increasingly weighing on investor confidence and property market sentiment, contributing to an ongoing outflow of high-net-worth individuals from the city. Finance Minister Enoch Godongwana recently warned that Johannesburg is technically bankrupt and indicated that National Treasury could withdraw billions in funding should the city fail to address its unsustainable wage bill.

Berry Everitt, CEO of Chas Everitt International Property Group, warned that the Treasury’s concerns could significantly undermine confidence in Johannesburg’s property market. He noted that property values are highly sensitive to perceptions around governance stability, reliable service delivery, and municipal competence. BusinessTech