Tag: Malusi Gigaba

Malusi Gigaba resigns

By Tshidi Madia for News24

Home Affairs Minister Malusi Gigaba resigned from his post following mounting pressure for President Cyril Ramaphosa to give him the boot.

He decided to step down of his own accord, following a meeting with some of his comrades in the ANC on Tuesday morning, one of the provincial party leaders says.

The presidency confirmed Gigaba’s resignation via a statement in the afternoon, saying he decided to do so “for the sake of our country and the movement to which he belongs”.

“He resigned of his own accord, he showed some remorse and decided to step aside,” Ekurhuleni Mayor and ANC chairperson in the region Mzwandile Masina told News24.

“We met with him in the morning, discussed this issue and said the writing is on the wall and that it was best for him to resign.”

“To stay on and wait to be fired is arrogant,” added Masina.

He said the former minister’s friends and comrades advised him to step down and fight his battles outside of government.

“We said he must think of the ANC and his family, telling him it was best to step aside and fight the issues from outside,” said Masina.

Gigaba has been at the centre of numerous controversies, which led to growing calls for President Cyril Ramaphosa to axe him.

In recent weeks Gigaba had: a leaked private video of him engaging in a sexual act; the Constitutional Court’s dismissal of his application for leave to appeal a finding that he lied under oath about approving the Oppenheimers’ private terminal at OR Tambo International Airport; and Public Protector Busisiwe Mkhwebane reaching similar conclusions to the court in her own investigation into the Fireblade scandal.

“He needs to apply for different court processes to clear his name. He cannot be a public representative, he cannot sit on boards… it’s about his integrity,” said Masina.

Masina also said Gigaba, out of his love for the ANC and his own contributions to the liberation movement where he once served as ANC Youth League president, agreed.

Internal battles in the ANC

Masina, who has been publicly defending Gigaba, refused to name others who took part in the Tuesday meeting. But said there appeared to be an understanding that the younger generation of leaders within the party, would not get a chance to lead it.

“There is a whole generation being wiped out of government, it has no prospects,” said Masina.

He told News24 this was linked to internal battles within the ANC.

Gigaba himself has previously said there was a campaign to destroy him, accusing Parliament’s portfolio committee on public enterprises of joining in on the campaign after a report into his role at Eskom was leaked.

“We are blaming no one, he is taking responsibility and he will fight,” said Masina of his comrade and friend.

Finance Minister Malusi Gigaba said on Tuesday that power utility Eskom’s application for a 19.9% electricity tariff hike next year is “unjustified”.

Gigaba was addressing a business breakfast in Umhlanga, north of Durban, organised by the Durban Chamber of Commerce and Industry.

“To ask South Africans to pay more … when the economy is subdued and the mid-term outlook is as subdued as it is and we have the types of financial and leadership challenges that Eskom is now experiencing, I think that will serve as a perverse incentive,” he said. “We’ve got to be careful what we do.”

Eskom has asked National Energy Regulator (Nersa) to allow it to implement a 19.9% tariff hike for the 2018/19 year. Nersa is currently conducting public hearings into the feasibility of the increase.

Gigaba also called on the power utility to stabilise its finances, saying that public officials needed to be “circumspect” about how they manage public resources.

“All public officials needed to be conscious of the need to fight corruption, irregularities and inefficiencies to ensure that state-owned companies perform well,” said Gigaba.

“That’s why I think that the Eskom application for a higher tariff is unjustified, given the fact that on the other hand we have excess electricity.”

The finance minister told the business breakfast that Eskom must “incentivise” South Africans by improving its governance and employing what he termed “properly qualified executive leaders from CFOs (chief financial officers) to CEOs (chief executive officers) and all other executive directors”.

Mini budget

Gigaba criticised those who said his mid-term budget painted a bleak picture of SA’s economy and failed to boost confidence.

He delivered his maiden mini budget to Parliament in Cape Town last Wednesday.

The minister told the business breakfast that he had to present facts about the state of SA’s economy as they stand. “We gave an honest view of the challenges facing our country. We couldn’t go and spin ourselves to the country knowing all is not well. We couldn’t just go to Parliament and stand before the nation and lie.

“All the things that we said in terms of the country’s economic outlook for the medium-term budget were facts, as they stood before us, when we presented the statement,” he said.

“No minister of finance, worth their soul, would have presented anything different; they would have stated the facts as they are.”

Pay your taxes

Gigaba said everyone needs to pay their taxes, given that SA faces a R50.8-billion tax revenue shortfall.

And with National Treasury expecting GDP growth of only 0.7% this year, Gigaba said that “little social and economic transformation” could be expected without stronger economic growth.

He urged the private sector to join hands with government to boost the economy.

“Economic growth and transformation must become neutrally reinforcing principles. Government is doing its share and will continue doing so,” he said, mirroring what he said in his budget address.

“The private sector must bring something to the table, it must be a give and give situation,” he said.

Speaking of the state’s mounting debt, the finance minister said government doesn’t want to leave future SA generations facing a debt hole they won’t be able to manage.

“We need to give them a growing economy with less debt so that they could begin developing wealth for themselves and grow [the] economy of those who will come after them,” he said.

By Mxolisi Mngadi for Fin24

Follow us on social media: 

               

View our magazine archives: 

                       


My Office News Ⓒ 2017 - Designed by A Collective


SUBSCRIBE TO OUR NEWSLETTER
Top