For Creamer Media in Johannesburg, I’m Lumkile Nkomfe.

Making headlines: ANC impressed with Ramaphosa’s ‘maturity’ during talks with Trump; South Africa to cut spending if tax agency doesn't meet target; And, fuel levy hike could place heavier burden on South African consumers

ANC impressed with Ramaphosa’s ‘maturity’ during talks with Trump

The African National Congress said President Cyril Ramaphosa’s handling of engagements with US President Donald Trump in the Oval Office, demonstrated “maturity, diplomatic depth, and a steadfast commitment to truth and national dignity”.

Ramaphosa made a working trip to the US with the aim of discussing diplomatic, trade and economic relations, however, what began as an upbeat conversation, quickly turned when Trump began grilling Ramaphosa, confronting him with allegations of a white genocide and land grabs.

ANC national spokesperson Mahlengi Bhengu-Motsiri said the party welcomed the “strategic and high-level” diplomatic engagement between Ramaphosa and Trump.

While aspects of Trump’s public posture during the engagement may have reflected a confrontational tone, and at times, a reluctance to abandon previously stated misconceptions, Ramaphosa remained “calm, focused and unwavering”, the ANC said.

Bhengu-Motsiri said Ramaphosa used the platform not only to champion South Africa’s economic interests, but to also “confront and dispel harmful misinformation, notably the false and inflammatory narrative of a so-called white genocide.”

South Africa to cut spending if tax agency doesn't meet target

South Africa's government will have to cut expenditure substantially if the South African Revenue Service does not meet its revenue target, Finance Minister Enoch Godongwana said today.

Godongwana made only minor adjustments to the government's spending plans and deficit projections in a third budget presented yesterday after his two previous attempts were scuppered by disagreements within the ruling coalition.

Godongwana said the government did not expect a challenge on its spending plans barring any unexpected shocks but warned that there was a bigger downside risk on the revenue side.

And, fuel levy hike could place heavier burden on South African consumers

Meanwhile, transport will become more expensive and consumers will pay more after Godongwana on May 21 announced a 4% increase in the fuel levy, of 16c/ℓ for petrol and 15c/ℓ for diesel.

This will be directly felt by consumers, as transporters cannot absorb increases without detrimental effects on their bottom-line, impacting on their business sustainability, says industry organisation Road Freight Association CEO Gavin Kelly.

He avers that this is how Treasury is finding R4-billion towards the R75-billion shortfall from the previous iteration of the budget, but this underscores that Treasury would rather tax citizens than cut the wasteful expenditure that has brought the country to where it is.

From June, the cost of logistics, of which 85% runs by road freight, will become more expensive. The consumer will pay more, transport through South Africa will become more expensive and global supply chains will re-evaluate their routes, he states.

That’s a roundup of news making headlines today

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