SA’s state-owned enterprises (SOEs) have been classified "red", "amber" or "green" in a matrix put together by the Treasury, while Finance Minister Nhlanhla Nene says he plans to go public soon on those coded "red", with a view to turning them around.
State-owned enterprises are one of the major drainers of the fiscus. Several turnaround strategies have been mooted by their various boards and management teams, but they have all come to nought. So did most done by external consultants.
Nene revealed this on Tuesday in an interview after he announced that the South African Revenue Service (SARS) had collected a net R1.216-trillion for the 2017-18 tax year, just slightly short of February’s revised revenue target of R1.217-trillion. This was more than R48bn below last February’s budget projection.
Nene said he was happy with the outcome and the budget deficit would come in within 0.1 percentage point of February’s estimates.
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