Delivering his maiden Budget Speech in Cape Town, Godongwana announced zero funding for SOEs, adding that National Treasury is set to outline criteria for their funding during the 2023/2024 financial year.
“SOEs need to develop and implement sustainable turnaround plans. The future of our state-owned companies is under consideration by the Presidential State-Owned Enterprises Council. Some state-owned companies will be retained, while others will be rationalised or consolidated. This, Madam Speaker, is what we call tough love,” adds Godongwana.The minister says Eskom has been provided with over R136 billion to date to pay off its debt, with a further R88 billion until 2025/2026.
In a bid to stabilise its finances, the SABC retrenched 600 workers and underwent a restructuring process from 2020 to 2021.
Source: News Formal (newsformal.com)