MyZA
News, Directory, Events and Other Stuff
Introduction: Running a business comes with its fair share of risks, which is why insurance is a crucial part of safeguarding your investment. In South Africa, there are several insurance solutions tailored to meet the unique needs of businesses. Whether you are looking to protect your business partners, key employees, or mitigate contingent liabilities, there …
SARS welcomes MTBPS revenue revision
The South African Revenue Service (SARS) has welcomed the tabling of the Medium Term Budget Policy Statement (MTBPS), despite the statement’s downward revision of revenue collection by some R56.8 billion.
The MTBPS was tabled by Finance Minister Enoch Godongwana in Parliament on Wednesday.
“SARS has continued with its core functions of collecting all that is due to the fiscus. During the first half of the current fiscal year, we have collected gross revenue totalling R1 016.3 billion, growing by 4.5% and recording a surplus of R1.0 billion against the Budget 2023 estimate.
“This performance is on the back of strong gross collections from VAT, Fuel Levy and PIT [Personal Income Tax], partially offset by lower gross collections from CIT [Corporate Income Tax], as company profits remain under pressure. Without our assistance, the fiscal framework would have been under greater pressure.
“This is a good news story and offers hope in a currently challenging environment. Through focused commitment, SARS has paid back to the economy through refunds for the first six months of the current fiscal year an amount totalling R212.2 billion, higher by R24.6 billion over the prior year and higher than the Budget 2023 estimate by R30.1 billion,” the revenue service said in a statement.
The 2023 main budget had projected collections would reach some R1.78 trillion but that has now been revised down to R1.73 trillion.
“Income and profits in the broader economy have been adversely affected from what was anticipated at the 2023 February Budget. Provisional corporate income tax collections, from especially the mining sector, have reduced at the end of the June 2023 and led to a larger than expected deficit against the 2023 Budget estimate.
“Nevertheless, higher-than-estimated profitability in the finance sector (amongst others) supported provisional corporate income tax and dividends tax collections. Main sector performance that showed growth includes – Finance 7.8% from employment and vesting of shares, Community 6.8% from annual salary increases (mainly Government) and Wholesale 6.2%, mainly from retail and vehicles,” SARS said.
The revenue service highlighted that net tax revenue performance is “impacted adversely” by local and global challenges.
“A slowdown in mining production is down 55% due to lower demand of coal. This is compounded by disruptions to and underinvestment in freight and logistics networks, which erode the competitiveness of the South African economy. The intermittent and inadequate electricity supply remains the most immediate and significant constraint to production, investment, and employment.
“Rising inflation rates constrained household spending by raising the cost of living. Global growth slowed further in recent months. Central banks are countering the effects of high inflation by implementing restrictive monetary policies for longer than anticipated which negatively impact on all developing countries. Several global risks remain, including the increase in geo-political tensions, resulting in the need for stronger domestic demand to support economic growth,” SARS said.
The revenue service added that Gross Compliance Revenue yielded some R118.4 billion.
Key focus areas in this regard include:
Fraudulent claims
SARS highlighted that fraudulent refund claims remain a concern for the tax collector.
“At R172.1 billion, VAT refund payments contribute 81% to the overall outflows, growing against last year by R21.5 billion. 84% of all VAT Refunds are paid within 21 days, up from 77% last year. However, like all other revenue agencies, impermissible and fraudulent refunds remain a concern in this year, SARS prevented R45 billion from being paid out.
“Equally important is that we have prevented R45 billion from being paid out following verification activities that were enabled by Artificial Intelligence. Impermissible and fraudulent refunds remain a concern, and we must deal with this phenomenon,” the tax collector said.
SARS Commissioner Edward Kieswetter encouraged South Africans to do the right thing and pay what is due to the tax authority.
“The historic win by the Springboks on Saturday communicates an important yet simple message – that every single point makes a massive difference between winning and losing. While the odds were stacked heavily against the Springboks, it took superhuman efforts individually and collectively to contribute to what at times look like an impossible victory.
“It is therefore incumbent upon all of us as South Africans to play by the rules like the Springboks and never give up until the final whistle blows,” Kieswetter said. – SAnews.gov.za
NeoB
Thu, 11/02/2023 - 09:07
In the wake of the untimely passing of Martin Moore in May this year, Durbanville Hills is pleased to introduce its new cellar master, Pieter-Niel Rossouw, a seasoned winemaker and viticulturist. Pieter-Niel joins from Darling Cellars where over the past nine years he was the chief winemaker and viticulturist. Pieter-Niel acknowledges the significant responsibility that …
Cape Town march in support of Palestine
Hollard International (https://apo-opa.info/3tUpGWD) will extend its footprint in Africa through the finalisation, on 31 October 2023, of an agreement to acquire a significant interest in Apollo Investments Limited, the holding company of Kenya-headquartered insurer APA Insurance.
This strategic investment, subject to regulatory approvals, gives Hollard International a presence in the East African market, supplementing its existing operations in Southern and West Africa.
Hollard becomes the second international investor in the Kenyan group, following Swiss Re, which acquired a stake in 2014.
For APA, the partnership gives Kenya's second-largest insurer access to a larger market and expanded opportunities for growth, says Ashok Shah, Group CEO of Apollo Investments Limited.
“It's an exciting time for APA because the Hollard International partnership will open new doors and new avenues of growth for our business. We'll have access to substantial new expertise in classes of business such as Motor, Engineering, Marine and other specialist lines of insurance – which we believe will open up a number of profitable business opportunities.”
Expressing the significance of the partnership, Shah notes, "In addition to expanding our operations in Kenya, this venture will also enable us to strengthen our foothold in Uganda and Tanzania. Moreover, it positions us favourably to seize opportunities in the Ethiopian market once it becomes accessible.”
Pravin Kalpagé, CEO of Hollard International, is equally upbeat about the transaction, heralding it as “a vote of confidence in the Kenyan and East African markets”.
He says, “Hollard International has been looking for an East African partner for some time, and APA ticked so many boxes – it has an established track record, an impressive value proposition with strong broker and customer relationships, and it shares our values around community, reliability and customer-centricity. All these elements resonated strongly with us.
“This investment continues Hollard International's African model of finding strong local businesses and management teams with whom to partner in-country, rather than parachuting expatriates into a new market.”
He adds that exploring options in Francophone West Africa is next on Hollard International's to-do list.
Kalpagé has also pledged to bring Hollard International's model of “impact beyond insurance” to the East African market – as demonstrated in Mozambique and Ghana, among other countries.
Hollard Mozambique has developed risk-mitigation insurance products to protect smallholder and subsistence farmers – whose livelihoods are totally reliant on their crops – from extreme weather events through a partnership with local seed providers.
In Ghana, the MeBanbo microinsurance product arose from a partnership between Hollard Life, Vodafone Ghana and Sasai Fintech, a business of Cassava Technologies. It offers accessible, affordable life insurance cover, via an end-to-end digital platform, to the underserved Ghanaian market.
“This focus on being a catalyst for social impact in Africa is in line with Hollard's business purpose, which is to enable more people to create and secure a better future,” concludes Kalpagé.
In South Africa, Hollard is the largest privately owned insurance group, offering both life and non-life product suites. Hollard International extends insurance solutions outside of South Africa through operations in Namibia, Mozambique, Zambia, Lesotho, Botswana and Ghana, with East Africa (Kenya, Uganda and Tanzania) being added to the list through the APA transaction.
APA Insurance is owned by Apollo Investments Limited, which was founded in 1977 with a mission to provide “present and future peace of mind to the East African market and, in turn, enhance the quality of life for both our clients and loved ones”. Built on commitment, integrity and innovation, Apollo has since become one of the leading financial services groups in East Africa, with six companies under its belt.
Issued by Flow Communications on behalf of Hollard.
Distributed by APO Group on behalf of Hollard.
For more information or to arrange an interview, please contact Khaya Thwala on khayat@flowsa.com or +27 78 349 0668.
About Hollard International:
In South Africa, Hollard is the largest privately owned insurance group, offering both Life and Non-Life product suites. Hollard International extends insurance solutions outside of South Africa through operations in Namibia, Mozambique, Zambia, Lesotho, Botswana and Ghana, with East Africa (Kenya, Uganda and Tanzania) being added to the list through the APA transaction. https://apo-opa.info/3tUpGWD
About APA Insurance:
APA Insurance is part of the Apollo Group, one of the leading insurance groups operating in East Africa, providing a broad array of insurance solutions across Kenya, Uganda and Tanzania. APA is one of Kenya's largest non-life insurers and provides access to Motor, Liability, Agriculture, Property and Health insurance as well as a unique range of micro-insurance products. APA Life Assurance is one the fastest growing life insurance companies in Kenya providing Individual Life, Savings, Investments and employee benefits solutions including Group Life, pensions and Annuities. Its other primary insurance business units include APA Life Insurance, APA Insurance in Uganda; an asset management company, Apollo Asset Management; and a property company, Gordon Court. The Apollo Associate in Tanzania is Reliance Insurance Company. https://www.APAInsurance.org/
SAA officially relaunched
Public Enterprises Minister Pravin Gordhan says despite all the challenges it has faced, South African Airways (SAA) has a “tremendously bright future" if its current expansion is properly managed.
The Minister officially relaunched SAA on Thursday at an event that also marked the restart of the State-owned airliner’s direct flights to São Paulo, Brazil.
“Notwithstanding State capture, notwithstanding the COVID pandemic, SAA is where it is today. What we can see ahead of ourselves, as part of the recovery of SAA, is a tremendously bright future, if we manage the current expansion properly but also conclude the deal with the equity partner, which should be concluded either late this year or early next year.
“That will add a lot more money... to SAA to expand and will multiply its capacity to fly South Africans out of South Africa and also bring tourists into South Africa from all parts of the world as it once did, but now in a financially sustainable way,” Gordhan said.
The State-owned airline has endured challenges for several years.
SAA was racked by allegations of fraud and corruption during the State capture years and was also put under business rescue and grounded.
The Minister explained the turnaround for the airline.
“What we have been able to do is to firstly establish that there’s no more money that’s going to come from taxes that’s going to go into SAA, like the R40 billion that went in over a 10-year period. SAA must survive on its own strength... [and] on the capital that is actually provided by the strategic equity partner and it must grow organically. Through the business rescue process, its balance sheet is not encumbered in any kind of way.
“It took three and a half years of very hard work…to ensure that we steer this process. It’s a signal to investors and the investing community in South Africa that reforms are possible in South Africa. That we can execute, just with South African talent, these very complex deals and complex reform processes in State owned entities,” he said.
Gordhan hailed SAA’s new offering to fly to Brazil as just the start for the airline.
“This flight to São Paulo… is an important event because it signifies an important gesture to all those who critically watch what we’re doing with SAA at the moment. There are many naysayers around and many people in the industry - and sometimes outside the industry - who wish it wouldn’t work. But…we are South African and South Africans are known…for resilience, and a sense of vision. We have our pitfalls every now and again.
“But SAA…is going to be a success. This is a sign that the intercontinental flights – not only through code shares, but SAA in its own right – should be around the corner. São Paulo is just the start. We need to see how we can expand the network because…the beneficiary will be South Africans at the end of the day,” he said. – SAnews.gov.za
NeoB
Fri, 10/27/2023 - 10:38
Empowering Homeowners with Control and Savings Saving the environment by reducing the consumption of scarce water and electricity Making payment collection a breeze Prepaid electricity meters have emerged as a practical solution for homeowners seeking more control over their electricity usage and expenses. These innovative devices allow users to monitor and manage their energy consumption …
Investing in shares is one of the more direct ways to gain exposure to the stock market and to easily diversify your portfolio. However, one needs to know where to invest in order to achieve inflation beating returns over the long term. Choosing the right investment strategy that aligns with your investment objective and circumstances …