South African rand falls on Mideast conflict, power cuts
SEE ALSO :Maseno, Kisii and Maranda top in Nyanza“We can expect ongoing volatility throughout the day as investors await further developments. Load shedding overnight is not helping rand sentiment at present.” Struggling Eskom, which generates more than 90 per cent of South Africa’s power, is widely viewed as the biggest impediment to growth. Saddled with unreliable coal-fired power stations, Eskom has struggled to meet demand since 2007, forcing it into several rounds of extensive power cuts. Outages last year dented economic output and shook investor confidence in President Cyril Ramaphosa’s administration. In fixed income, the yield on the benchmark government bond due in 2026 was up 2.5 basis points to 8.29 per cent.
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