News

Stabilising Public Finances

Large fiscal deficits incurred over the years, although providing short-term support to the economy, have not resulted in commensurate long-term economic growth. This has led to sharp increases in the government’s debt-to-GDP ratio, which currently stands at 60.8 per cent, and is expected to rise to 71.3 per cent in 2022/23. The growing proportion of limited public resources spent on interest payments are crowding out spending on social and economic investment.

N Nolands Team

Eskom reforms

In February 2019, the president announced the separation of Eskom into three distinct entities: generation, transmission and distribution. The primary objective being to allow each entity to focus on enhancing efficiency, reducing costs and optimising investment on a specific function, rather than trading off efforts amongst all three. In addition, the capital structure will ultimately be amended to end all reliance of Eskom on government support. Functional separation to wholly owned subsidiaries with independent Boards is scheduled to be complete by March 2020, with legal separation of the distribution and generation functions by December 2021.

N Nolands Team

Promoting Investment and Economic Growth

Policy certainty and a conducive business environment are critical to support the confidence of businesses and households. A robust monetary policy framework has provided certainty but needs to be complemented with a range of reforms that are within government’s control and do not require significant funding. These would help to raise long-term growth.

N Nolands Team

Medium Term Budget Policy Statement 2019

The 2019 MTBPS has been presented by Minister Tito Mboweni. His opening statement was a reference to the Aloe Ferox plant he brought to Parliament when presenting the February 2019 budget.

N Nolands Team

#IMSTAYING

The latest social media phenomenon in South Africa is a Facebook page started just over a month ago which now has 700 000 followers! It’s a collective of positive sentiments about South Africa from people of all walks of life. Now it looks set to play a role in job creation and stimulating the economy. A positive step in any one’s books!

N Nolands Team

Delinquent Director

In a very recent public spat, the board of Old Mutual and its CEO have had an acrimonious relationship, with the CEO wanting to declare the entire board of Directors delinquent after having been fired for conflict of interest. Being declared a delinquent director is not a common occurrence and we thought it may well be of interest to list the grounds for Delinquency.

N Nolands Team

Economic Policy Paper for Public Comment

The Minister of Finance, Mr Tito Mboweni, is calling on members of the public to make comments on a paper titled: “Economic transformation, inclusive growth, and competitiveness: Towards an Economic Strategy for South Africa”.

N Nolands Team

Special Trust

Unlike conventional trusts, which are taxed at a flat rate of tax, a special trust is taxed on the same sliding scale applicable to natural persons. For tax purposes the following types of special trusts are recognised:

N Nolands Team

Who Needs to do Estate Planning?

Many may think that they are not old enough or wealthy enough to warrant doing any estate planning. However, if a person is over the age of eighteen, no matter how small their estate is, it is advisable to begin the process. Where an estate planner is “at” in life, will determine your strategic plan for your estate, and which techniques to use in order to implement in the plan. An estate planner may be single, married, divorced, or separated. You may have minor children or adult children. You may be married for a second or third time, with children from previous marriages. You may own assets with a strong growth potential.

N Nolands Team

Prescribed Investments for Pension Funds

Much has been publicised about the potential implementation of prescribed investments and resultant impact on investment returns. This policy was previously followed by the Nationalist Party but abolished in the late 1980’s.

N Nolands Team

The Stock Exchange Of Mauritius: 30 this year with big plans ahead.

This year, the Stock Exchange of Mauritius (SEM) is 30 years old, and like most really successful 30 year-olds, is now looking to new horizons to fulfil its ambitions. Having outgrown its island origins, the SEM is now exploring the potential of the African continent to continue its upward growth curve.

Implementing NHI One Step Closer

The cabinet has finally approved the National Health Insurance (NHI) bill for tabling in parliament, minister in the presidency for planning, monitoring and evaluation Jackson Mthembu announced last Thursday.

N Nolands Team

Business Rescue – Directors Responsibility

In the current economic climate, more and more companies are becoming financially distressed. Directors are duty bound to constantly monitor the company’s financial position, to determine whether voluntary business rescue proceedings need to be initiated. Failure to implement business rescue proceedings could result in the director being charged with reckless trading and be exposed to personal liability. It is incumbent upon directors to ensure that they place their companies into either business rescue or liquidation, or to cease trading, when the warning signs become evident. Directors should be aware of the practicalities of business rescue, and the duties and powers of the business rescue practitioner.

N Nolands Team

What's going right in Mauritius?

There is something about island life that re-wires the brain in all the right ways. With Mauritius it’s even more so; with the laid back friendly vibe and the relaxed pace comes jaw dropping beauty around every corner and coastal cove. Little wonder it attracts more than 1.3 million tourists a year – more than its own population.

E Errol Denman

Nolands Capital welcomes new Chairman Ivan Clark

Three months after launching their key executive structure to the market, Nolands Capital have announced as non-executive Chairman one of South Africa’s most successful and revered businessmen, Ivan Clark.

N Nolands Team

Companies Amendment Bill

In 2018 the Department of Trade and Industry published a Companies Amendment Bill for public comment. There are a number of proposed amendments that affect small and medium enterprises (SME’s) and we will briefly outline a few of the potential implications below:

N Nolands Team

Tax Season 2019

This year taxpayers who meet ALL the following criteria need NOT submit a tax return:

N Nolands Team