13 Nov 2012

Finance & Insurance

 

The end is nigh...

With five more weekly newsletters to go, and just a few more sleeps until you find yourself pushing and shoving in a crowded shopping mall searching for that one last gift, the news flow is yet to slow! All 26 of our industry newsletters are jam-packed with what's what with the who's who.

The annual Checkers/Shoprite Toy 4 Toy campaign launched this week, so if you have any new or used toys laying about that little Susie's outgrown, why not donate them to a less fortunate child. The campaign runs until early December.

After Randall Abrahams handed over the SAMA CEO baton to Nlanhla Sibisi, the 2013 MTN South African Music Awards is now open for entries. Look out for a few category changes here and there, and have your entries in by 30 November 2012. As my father recites whenever buying his tata ma chance ticket, you have to be in it, to win it...

Still on the topic of winning, well done to the KZN-based African Centre for Crop Improvement for scoring its first award! Conferred by A Green Revolution for Africa for "exceptional contributions to food security in Africa", the ACCI received its award from Nobel peace prize laureate Kofi Annan.

Lastly, in an endeavour to keep our coasts clean and our marine life protected, the Western, Northern and Eastern Cape coasts will soon have bins in which fishermen can discard broken or used line. The project, successfully implemented along the Overberg's Gansbaai shoreline, uses PVC pipe as bins for fishing line. According to John Kieser, sustainability manager of Plastics|SA, the project has received plenty of support from the public and fishermen have also welcomed the initiative. Well done to all involved!

Sindy Peters: Group Head, Content

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Top stories


Editorial news

Finance & Insurance


Life assurers show zero tolerance for fraud
South African life assurers have reported a significant increase in the value of prevented fraudulent death‚ disability and funeral cover claims in 2011. Read more >>

Visa launches website to boost financial literacy
In a move to boost financial literacy in Africa, Visa announced the launch of its new website, Africamoneyskills.com. In sub-Saharan Africa 80% of the adult population, or 325 million people, remain financially unserved, as compared to only 8% in high income Organisation for Economic Co-Operation and Development countries, according to the Financial Access initiative. Read more >>

Financial Planning Standards Board becomes affiliate member of IOSCO
The Financial Planning Standards Board (FPSB), the international financial planning standards-setting body to which The Financial Planning Institute is affiliated, has been approved as an affiliate member of the International Organisation of Securities Commissions (IOSCO). Read more >>

SMEs must use opportunities created by e-commerce trading
The advent of e-commerce has significantly boosted opportunities in the small and medium sized enterprises (SMEs) sector, which currently accounts for 40% of South Africa's GDP and 60% of the workplace in formal employment. Read more >>

Insurance


Hail storms, heavy rains prompt spate of claims
[Phakamisa Ndzamela] South Africa's largest and only JSE listed short-term insurer Santam said it had received about 2‚400 claims for R35m for hail damage to cars and homes in Gauteng and storm damage in Port Elizabeth. Read more >>

Climatic risks can be determined with the use of technology
The recent freak weather conditions seen locally have highlighted the importance for insurers of understanding the specific risks that certain geographical locations face with the floods and hail estimated to have caused damage of up to R1 billion. Read more >>

Accounting & auditing


King opposed to JSE results publication rules
[Evan Pickworth] The doyen of global financial regulation‚ Prof Mervyn King‚ drove a spoke into the wheels of the JSE's efforts to scale down rules on the publication of listed companies' financial results. Read more >>

Credit services


Borrowers battle to pay debts says Afdawn
[Phakamisa Ndzamela] Microlenders are struggling to collect debts from over-borrowed customers, African Dawn Capital's chief executive Tjaart Kruger said. Read more >>

Its tickets for 1time - but not for passengers
Embattled budget airline 1time on Friday filed for liquidation and immediately grounded all its flights. Read more >>

Finance, accounting & banking


'Managing' the rand won't help exporters
The managed currency band that the Manufacturing Circle called for in its submission to parliament this week might not be the panacea that will help South Africa become competitive. Read more >>

Mondi profits of €135m in third quarter
Mondi says that its underlying operating profit for the third quarter ending September was €135m‚ in line with that of the comparable period last year but lower than the €150m in the second quarter. Read more >>

Strong performance from Shoprite
Market share gains in South Africa as well as a strong performance from its African operations boosted Shoprite's turnover by 15.6% in the first quarter‚ the company said in a trading update yesterday. Read more >>

Sharp rise in household expenditure
Expenditure by South African households has increased by 24.6% between the years of 2005/2006 and 2010/2011, the Income and Expenditure Survey (IES) of 2010/2011 has found. Read more >>

Financial services


Clouds over government leases says Nomvete
[Thabang Mokopanele] Delta Property Fund's chief executive Sandile Nomvete says the cloud hanging over government leases needs to be resolved as it makes it difficult for black-empowered companies to get new leases. Read more >>

Non-bank lending increasing among SA's high-nett-worth consumers
[Gary Palmer] South African non-bank lenders are experiencing an increase in the number of high-nett-worth consumers making use of short-term finance solutions, as an alternative lending option to the commercial banks. Read more >>

Agreement to improve responsible lending reached
Representatives of major retail banks, the Banking Association of South Africa (BASA), the National Treasury, the South African Reserve Bank and the Financial Services Board have reached an agreement to improve responsible lending and prevent households from being caught in a debt spiral. Read more >>

Investment management


Bleak growth picture for Africa's largest economy
According to Independent Online, the rand fell over one percent against the dollar after weaker-than-expected mining and manufacturing data on Thursday painted a bleak growth picture for Africa's largest economy. Read more >>

Brait on the right path
[Sure Kamhunga] John Gnodde‚ the chief executive of investment holdings group Brait‚ seems to be an investor with his ducks in a row. Read more >>

Tradehold's £1m profit in six months
Tradehold‚ which has retail and property investments in the UK‚ said on Tuesday that although the adverse conditions in the British economy were expected to continue‚ the company's outlook for the next six months was positive. Read more >>

JD Group issued R1bn bond
JD Group has successfully completed issued its debut bond worth R1bn. Read more >>

Distell says it will not be diluted
At the annual general meeting last week Capevin shareholders were told that licensing agreements involving some of the best-known global spirits brands would preclude collapsing the shareholding structure. Read more >>

Business Connexion's revenue up to R5,8bn
[Thabiso Mochiko] Business Connexion's (BCX) share price rose by 4% in early trading after the reporting its best results in eight years. Read more >>

Mines


Mine disruptions may reduce SA's GDP by half pct point
For the past few months, the unlawful strike action on SA's gold and platinum mines has attracted widespread media coverage, TimesLIVE says, and political and social costs are now beginning to show in the numbers. Read more >>

Taxation


E-tags will be used in other provinces
The e-tag system will be rolled out at toll plazas in provinces other than Gauteng, Sanral said on Wednesday. Read more >>

Tax revenue target down by R5bn
[Paul Vecchiatto] Tax revenue is expected to be revised downwards by R5bn in the current financial year to about R900bn‚ but this still implied a nominal growth of 10.6% over the 2011/12 year‚ the Medium Term Budget Policy Statement (MTBPS) said. Read more >>

Tax Administration Act aims to simplify
The Tax Administration Act (Act 28 of 2011) took effect from 1 October, apart from certain provisions relating to interest, which will take effect from a date still to be determined. According to the SARS Short Guide to the Tax Administration Act, the Act "aims to simplify and consolidate, into one Act, a more logical and systematic way of dealing with the tax administration law. Read more >>

Venture capital


Incubation programme creates 'entrepreneurs with real skills'
Since the launch of the Incubation Support Programme (ISP) in September, the Department of Trade and Industry has received 60 applications for cost-sharing grants to help roll out small business incubation programmes. Allafrica.com reports that Minister of Trade and Industry Rob Davies said the applications would be presented shortly to the programme's adjudication committee. Read more >>

No shortage of money
[Anton Ressel] So why is accessing finance such a challenge for most SA businesses? Non-profits and social enterprises seem to be taking particular strain. Read more >>


International
Standard Bank in retail African expansion
Standard Bank has lost another key executive, Craig Bond, to Absa as the Africa expansion strategies of both banks gain momentum. Read more >>

Priceline pays US$1.8bn for Kayak
NEW YORK, USA: Priceline has agreed to buy rival travel website Kayak in a stock-and-cash deal worth US$1.8 billion, the companies said on Thursday. Read more >>

Business Connexion buys Integr8 for R126m
In terms of the deal, BCX will buy the company and Rola Rola Holdings‚ Ideal Trading 620‚ TS Family Holdings and Eritron‚ among others‚ allowing it to hold 100% of the shares in Integr8 IT. Read more >>

Netflix uses 'poison pill' to thwart takeover
Netflix on Monday implemented a "poison pill" to make a hostile takeover more difficult, just days after corporate raider Carl Icahn acquired a stake in the online video company. Read more >>

These diamonds were not forever
Tax inspectors in Japan are selling off at least $2m worth of diamonds on an Internet auction site after seizing them from people who had not paid their dues. Read more >>

More International...


Africa
Zimbabwe's growth forecast falls
VICTORIA FALLS: Zimbabwe's Finance Minister Tendai Biti has cut the country's 2012 economic growth forecast to 4.0%, mainly owing to lower than expected agricultural production, local media said on Monday. Read more >>

IMF relaxes Zimbabwe restrictions
WASHINGTON - The International Monetary Fund relaxed its restrictions on providing consulting support to Zimbabwe as the country moved toward constitutional reforms and showed improvement in economic policy co-operation with it. Read more >>

More Africa...


Government
Hawks probe R23m contract
An information technology contract worth R23m, awarded by the Gauteng finance department, is under investigation by the Hawks, according to the Sunday Independent. Read more >>

More Government news...


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