The government has absorbed a massive chunk of Eskom’s R423bn debt, providing the ailing power utility with debt relief of R254bn in the next three years.
Image:providing the ailing power utilityThis was one of the major announcements made by finance minister Enoch Godongwana during the tabling of the 2023/2024 budget in parliament on Wednesday.
“Government will finance the arrangement through the R66bn baseline provision announced in the 2019 budget, and R118bn in additional borrowing over the next three years.” “These allocations have failed to stem the collapse of Eskom’s balance sheet and operations. The utility imposes an enormous drain on the economy and its debt stands at an unsustainable R423bn.”
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