Too much must not be expected from the flesh and blood, even of Mr. Gordhan.
Beware the day he throws in the towel !

It's unfortunately a lot more complicated then simple ANC led corruption... though that certainly added to the pile of nails being readied for the coffin.

The glut in the global oil prices has had a massive knock on effect globally, it reduced manufacturing costs in many places except in SA. Due to the way our oil market and fuels are regulated and taxed our total fuel cost per capita should have reduced drastically. In line with the rest of the world. It didn't, we are therefor still needing to charge a higher price for our products on the international market.
Between our unions and their propensity to strike there is no new investment coming into that sector.

Mineral prices are slumped and have been for a while, this has mauled our mining sector something fierce.

Eskom, the dismal mess that is our sole power source has created a huge problem within the manufacturing sectors... the massive increases have hit the consumers hard and their liquid capital and kliengeld is spent on trying to keep the lights on.

Vehicle pricing is stratospheric... our company pays Toyota SA about 16k US for the Toyota Prado GL and pays Nissan SA about the same for the Patrol with the 3.8D. Compare that to what the national consumer pays in SA and there is a huge disparity... unfortunately a lot of that is simply due to the taxation rules of vehicles in SA.

The property bubble, this is going to pop... it simply has to. There is almost no way now for a new young family to get into the market at reasonable costs anymore. The rent prices are through the roof as well and given our average income across SA this is untenable. It is all being funded through credit, bad debt restructuring and high interest rates... the market will collapse on itself sooner or later. It simply cannot sustain itself at this level.

There is definitely a storm coming... and It's going to hit hard. Those who have protected their capital and endured they have something set aside will weather it just fine... those living month to month, they are in deep doo-doo...
There will be more service delivery protests, but now aimed at the DA/Coalitions in an effort to make those regions ungovernable. There will be more strikes as the mining sectors start with massive layoffs. There will be more many more issues.

But, we are South African's... Surviving hard times is what we do. These last 20 years have been a cake walk for all races compared to the past and we still have that houding, that vasbyt that will see us though...

Just to add and not to sound negative; the increase in food prices are almost exponential every month. Salary increases as dismal. As said before, when the top scale of your increase is equal to the so called inflation rate, you are going backwards. It's one giant snowball effect...

On 2016-08-25 21:29:27 deamonza said:
our company pays Toyota SA about 16k US for the Toyota Prado GL and pays Nissan SA about the same for the Patrol with the 3.8D. Compare that to what the national consumer pays in SA..

I just did - where can I get a few of those?
If they've fallen off a truck I'll panelbeat them, and still make a handsome profit!

Sorry, decided to rather delete my opinion.

Mwah

Arz

Pieter, how I wish your words were not spot on.

The cherry on top of the doom and gloom you've so rightly predicted is that South Africans will become economic prisoners, i.e. international travel/holidays and emigration will be pipe dreams

On 2016-08-25 20:16:40 Chmoks said:
...

It is a buyer's market soon...

Well spotted Chmoks. What may appear to be doom and gloom for most presents opportunity for others. I for one can't wait for most of Pieter's predictions to become reality.

Can only agree with Pieterd002's remarks and conclusions. The prospects are not good, and with SA being operated as a personal fiefdom by the President and his cohorts, change won't be easy.

The time for sound leadership and statesmanship was never greater. The current leadership is incapable of recovering the situation and probably doesn't want to.

There are some leaders in SA who can turn things around if they're allowed the chance, but time is limited. With zero GDP growth, +3% population growth and an education system that's been compromised, an Arab Spring becomes more likely.

Then a buyers' market for houses is irrelevant.

Good luck to us all.

Doom and gloom shared by all and sundry ! No more lavish overseas trips, emigration a pipe dream ! May have to scale down on the size of house and the model of car ! Batten down the hatches, winter is coming .... again, as it has since 1994. Families split, foreign lands, fear, doom, gloom and trepidation ! Fear prevents and inhibits clarity of thought and the making of rational decisions,and on a larger scale fear allows governments and those lurking in the dark shadows to control people's lives and destinies, fear is a weapon used to enslave humanity.
"There is nothing to fear but fear itself".

FFS some people just love being prophets of doom. News paper reporters are probably top of the list!