Investors tired of apartheid excuses from ANC

Krutham managing director Peter Attard Montalto says the constant blaming of everything on apartheid is an unhinged story investors have heard for far too long from government ministers.

Attard Montalto published a column he wrote for Business Day on his company website, highlighting the risk of the 2024 general election.

He argues that the election risks further damaging sentiment as we get more fear in the ANC, developing into more mad pronouncements from the government.

“The constant blaming of everything on apartheid is an unhinged story investors have heard for far too long from government ministers,” he said.

He added that the ministers tell overseas investors that, somehow, they should treat South Africa as a charity case and buy its bonds because of the legacy of apartheid.

“This sob story narrative does not go down well, especially compared with the more robust narratives emerging from others like Kenya,” he said.

Attard Montalto added that the same goes for international funding related to South Africa’s just energy transition.

He also took aim at electricity minister Kgosientsho Ramokgopa, who said Eskom employees must be paid bonuses to improve staff morale and performance.

Ramokgopa said he had asked Eskom’s management and board to re-introduce performance incentives for employees at power stations.

To pay for these bonuses, he suggested Eskom use the money saved from a reduction in the use of diesel as the performance of coal power stations has improved.

Attard Montalto highlighted that the bonuses to Eskom generation employees already exist and were reintroduced by former Eskom CEO André de Ruyter.

“The nauseating spin is all quite normal in an election but risks hampering sentiment,” he said.

“This was not the case in 2019, of course, where the narrative was purer about solidifying the end of state capture.”

“Now, there is a complex mix of detailed and positive reform communications with investors and business and political promises that often overlap and conflict.”