"SA in an economic disaster": SARB repo rate hikes, Eskom debt, Basic Income Grant, GDP

[@siphiwemthembu8720]

For me, SARB is using an old model that is no longer working for inflation targeting. They should find a new tool for this model. Hiking interest rates is not solving our inflation, we have an Eskom problem. Great discussion

[@yougetaspear7799]

Imbecilic policies problem believing in state enterprises- sabc, saa, postbank, denel, armscor, the list is endless instead of the common sons and daughters being the entrepreneurs

[@velindaba8420]

A lot in what the current government is doing or using as solutions are recycled from the days of the Mandela's and Mbeki's. We don't have a government that has innovative ways of thinking, and they pretty much don't have the people in mind.

[@lesedimoloi6741]

WE NEED A PART 2 MOST DEFINITELY!!!!

[@thembanimgenu190]

He should have a seat next to Gogo

[@houseofgodtelevisionnetwor8467]

I love this channel because it exposes me to different mind within our country, yeah, South Africa is alive with possibilities

[@_SMWX]

That’s the goal!

[@noluthando413]

I barely watch indaba on TV because it's podcasts like these that provide in depth analysis on things that affect us as South Africa. 🎉

[@waltersteinberg3012]

A very impressive man. Eloquent, modest and exceptionally intelligent. A delight to listen to him

[@henkelspenk3611]

More of Duma Gqubule please. One of the most thought-provoking SMWX ever (and the bar is high!)

[@_SMWX]

👍🏽

[@RebirthofZion28]

We need to have more conversations about SA Economy and Financial Markets.

[@_SMWX]

For sure.

[@joepaul5971]

Doc please invite Dr Joel Modiri (to discuss Critical Race Theory, Decolonisation) and Dr Clement Marumoagae (To discuss the state of the SA Jurisprudence and The Judiciary)

[@picassocube3521]

Seconded!

[@OGLechaba]

Definitely need another episode, Mr Duma Gqubule is so eager to share his thoughts and knowledge you can pick it up on quickly he moves you to point to next to make a broad statement, incredible! Thank you Prof

[@dima309]

This interview is why I'm a proud member of this podcast 🙌🏾 thank you to the Guest and Doc!

[@_SMWX]

Thanks for your Membership!

[@Tselangwe]

He really understands economics and no doubts about that .

[@MphoTheElephant]

Thanks for coming through ntate Duma Gqubule and to Dr Mpofu-Walsh for hosting such an informative episode. We need him back.

[@MK_Thirty]

"its does not make sense to have budgets constraints on public sector investment"; Economist Duma Gqubele. 🎉🏅 That should be the attitude for all state assets, to never allow foreign elements to dictate how we stimulate our economy with our state assets.

[@Nathi411]

I am also a fan for suggestions backed by data. Insights shared are brilliant especially when he spoke on solving Eskom challenges, government expenditure and an idea on creating jobs. Brilliant

[@lesedimoloi6741]

This is the first ever time in many years, one hears an economist who stands behind what they believe in, in terms of policy with somewhat accurate costing as the basis of their standing. One has been a radical for all their life, but the approach this man seemingly took on policies such as nationalization of the mines, land distribution, social grants, is quite fascinating and essentially way more effective due to the numbers, WOW!

[@fritzshongwe5198]

Is this guy an actual economist though?

[@vuyondawo7699]

Thanks Sizwe for inviting Duma. As a postgraduate economics student I look upon him as an inspiration and hope to meet him one day. His views are completely unorthodox though. I didn't know that he supports the nationalized of mines.

[@tmi530]

This was so insightful 💯, we NEED part 2, 3,4, actually he should be friend of the show, he's 'gogo Aubrey ' of economics....i believe he's an independent economist, he doesn't sound like other puppet economists.

[@matemba.ntanga]

Thank you once again Sizwe. I was schololed here. Ayeye Mfowethu!!! Keep up the good work ❤

[@happym3585]

Ayeye a part 2 would be highly appreciated 🔥🔥

[@kemetforex]

South Africa is being punished, there's a lot we don't know that's happening in this country

[@francoiswilliams]

By the ANC? For sure 😊😊😊

[@venussimo]

We're not being punished. Say it as it is: The country is being looted by ANC politicians. Everytime you vote for ANC, you are saying yes to corruption, load shedding and looting of public resources. Vote wisely next time or stay at home

[@ditirophasha6948]

Wow. Absolutely loved this interview. We definitely need a 2nd part of this interview.

[@Mark-Weshi]

Mr Gqubule is talking very important nuggets there,however, all these points need a person not controlled by greed and invisible hands.

[@stepmaster9988]

CANNOT wait for this one!

[@BJ-eg6gr]

I think Duma should come back, to talk to us about the type of economic ideology that would work for an African economy. Duma is able to talk economics using normal language. A great mind indeed. Enkosi Hlubi 🤝

[@mandlasithole8147]

Waawu what a mouthful I feel educated...but is anyone in government listens though!?? Thank you Sizwe very informative session

[@sizwemsilora9553]

Was listening to him yesterday on Hot 1027 Business... I was captivated... Now that he is here... I cant wait to dive in... These are the kind of analysts we need... Calling a spade a spade...SARB is out of order...

[@_SMWX]

🙏🏽

[@tibbydudeza]

The SARB is doing it's constitutionally mandated job - they must control inflation and their only instrument they have is lending rates. It is the job of the voters to realize that the pain is not their fault but economic mismanagement by the ANC - blame somebody else - always blaming others.

[@aloysiushorniman4386]

Great conversation, thanks Sizwe👍

[@tsepomndaweni2096]

Exceptional

[@hustlerst.v983]

This man is a true representation of black excellence. Any president with the people's interests in heart would work with this man as his advisor.

[@Jitesh_Dayal]

What he wants to do can never be done under the current ANC government. Thats a fact.

[@tibbydudeza]

UBI - it will not work unless we print money by the truckloads - R350 is too little and we have no money for more or for more recipients - if our economy was booming it would be another matter.

[@tibbydudeza]

We would have been in more dire straits looking at an IMF restructuring if it was not for the commodities boom via increased tax revenue. No BRICS is not going to save us - Brazil has it own challenges - India and China is only out ther for themselves - Russia - a nation of lepers and strangled dying economy and a future Chinese client state.

[@teknikairaoulolgandessabek4102]

Has Duma Gqubule written books? I would love to buy whatever study he has published.

[@ayandasigxashe7198]

Great to listen & learn from Duma Q. Isn't it telling that Duma Q & Padi L didn't get an invite to be part of the presidents advisory team😢. We continue to stuff up this country to what end? Please invite Duma after the BRICS summit to hear his insight on its output. Stellar interview 👍

[@Mzukisi_Gwata]

Basically, Duma advocates for state capacity to drive development and growth, jobs, etc. I agree.

[@nkanelebeya3135]

As a country we can use his knowledge to resolve most of our economic issue. ANC this man is power. Just put this into practice.

[@elsadupreez4324]

Please… more from this very distinguished gentleman.

[@traumaqueeen]

The man is out of touch with reality. Too much time spent in the boardroom, not enough time on the ground. A lot of wishful thinking

[@wandiile_m]

This is something I’ve been saying since we started raising rates. You can’t contain Cost-push inflation by raising interest rates. You are indeed burning the house to roast a pig.

[@oratile7205]

Great interview Dr Sizwe. Thank you

[@nqababarnes4340]

Ur solution or ideas in solving the current problem we have are gud, bt I dnt think they will ever work under severe corruption. Because the leadership it only do things that benefit them or that will anrich them, eskom problems are fixeble, bt they dbt want it 2be fixed bcz they are milking billions out of this crisis. So it's nt about the people it's themselves benefiting

[@mneer747]

@sizwe please track down an economist called Redge Nkosi for alternative economic models to solve the colonialism being facilitated by the Reserve bank.

[@francoiswilliams]

What colonialism? You've missed the unabridled greed of the government??

[@didierliango6402]

I learnt a lot through this exchange.

[@mcebomemela2967]

Very insightful. Please have a series, tackle one/two issues a time.

[@tumelotlooke8842]

Hi Sizwe, this is an interesting topic. Maybe can you discuss further with someone on an issue regarding inflation and interest rates adjustments. Why is it that when interest rates are adjusted upward, that easily filters to the end customer almost quicker but when interest rates are adjusted downward, it seems like it is taking much to impact to an end user. Then adjustments of interest rates to curb inflation, does not that still not result in prices increasing which is inflation?

[@thabomaduna6423]

Brilliant, informative!

[@muatipoem]

Enklek Enklek we have the means and people to solve RSA problems, I think our government has no desire nor will to solve them... Danko!!!

[@mfundobrian8403]

This was brilliant

[@dima309]

After all that is said, I will tell you what is the biggest shame of all...in a literal sense we sleep on top of gold,diamond, gas,oil etc, but our dream as Africa is limited to a politician at the helm, can someone please wake me up from this nightmare 😢

[@SithembisoWambi]

Great show once again doc 👏🏿👏🏿👏🏿

[@_SMWX]

🙌🏽

[@Khabzo07]

I really enjoy Duma's perspective on the economy. We have a situation where we're being flooded by economic views coming from neo liberal economists which has really never worked to solve our current problems. We have a template on how China change their situation and lift almost 800 million people out of poverty. But we are still following the same equation that has not worked for us. The Reserve Bank should really do better and for now it's failing in my view.

[@ayanda6862]

"Massive injections into our economy " 29:21how does ond get into the economy without the anc stealing or mismanaging it?

[@sbu7736]

If I got R1500 for existing I wouldn't look for a job. Why would I break my back working at an office or mine?

[@masemolampho7564]

It's funny all the situation he says are in the EFF 7 pillars

[@sfisomlondo6699]

Thanks Sizwe ❤️ 😊

[@lloydkhambule]

wow

[@Moyopheus]

I'm not sure that the Reserve Bank should impose restrictions and controls on prices of products. Historical data shows us that this tends to lead to shortages of products be it housing as in California, or bread as in Zimbabwe. The competition commission can do more to protect consumers by ensuring that prices are not raised at the expense of the consumer through collusion and offender's must be harshly punished for unjustified price gouging but I think the market should be left free to operate generally so we do not artificially set prices away from the equilibrium point between supply and demand. Government can also assist with better targeted tax rebates and allowances on people's incomes on a monthly basis to aid with these price shocks. I think I also heard Duma say that we need to sell off most SOEs because they don't function well and are a burden to the state and essentially make them private. This he says would generate a lot of capital and make our debt vanish. However in the context of South Africa the wholesale sale of SOEs would concentrate capital in a few private hands mostly white and that would undoubtedly create an even more unequal society, this would be agitation for civil uprisings as a result. All that a private train operator for example has to do is generate just enough profit annually to satisfy it's shareholders even if this came at the expense of the mostly poor who most need the service. Therefore you would have fewer ridership , more profit and an underserved community. What needs to happen to SOEs is they need to be professionalised. They need the best and brightest talent globally to operate them and make them world class institutions. This unlocks their potential, makes them profitable while serving the developmental mandate. There's no reason Denel cannot be like Lockheed Martin, or SAA better than Emirates airlines. The best pilots and engineers work for these corporations from all over the world. As he stated SA has an economic growth problem, this must be put into context now with the rapid rise in tech led industries of which I think SA is lagging behind but has a lot of potential. Digitise the economy, give universal access to high speed internet in rural and urban areas and make it priority number one and see how the economy will grow. Create micro chip plants and provide alternatives to Taiwan's TSMC and Nvidia and billions of dollars of investment will flow into the economy. We need to leap frog development stages since China is dominating manufacturing jobs. By the way we can't compete with China because SA has better labour law and protections. Good interview, I do think if Duma was actually in government and was faced with decisions to make he would realise that there are many dilemmas, that is ones that do not have an optimal outcomes but have trade offs and the choices are to choose the "less bad" decisions. Thanks Sizwe.

[@molefetlhapi]

We need him as an advisor in the EFF government

[@fullmetaltheorist]

Good thing the eff won't ever rule.

[@awesomeness87878787]

We don’t need to privatise functions like electricity, water etc. if the government is run like a professional entity. We have cadred deployment to these portfolios and CEOs appointed that doesn’t know the basics of a balance sheet or electricity. That’s why these organs are failing. The real structural reform that needs to happen is government functions and appointments as well as matching industries with skills (or lack there of) of the unemployed. It’s funny how decades ago, the ANC said we won’t follow the China model to provide cheap Labour to the world. Look at China now. Moved from a cheap Labour factory of the world to a country with high speed rail, big tech companies etc

[@Siphonazi]

Part 2 Please Brother

[@ncedisamahala8405]

Part 2 please

[@sibongozulu1185]

Round 2 Sizwe!!!

[@sbudapro]

❤

[@rosemarythomson8239]

💪💪🙏

[@garagepie]

The ANC would never get this guy in, he's far too sharp and will catch them out in 2 minutes!

[@tacticalcombatfitnesstacti6366]

How is our interest rates coming down, when the US Fed keeps hiking there's

[@francoiswilliams]

Die geld is alles gesteel, where will it comes from for investment??

[@mxolisisehoole3428]

I’m so glad this isn’t twitter

[@Mark-Weshi]

Why is it that we don't have people like him in government? I am sure he will beat Enoch Godongwana in economic discussion hands down.

[@Landless_Native]

This guest needs to come and advise us on how South Africa can establish a Sovereign Wealth Fund just like Norway, Australia etc Which provides free high quality education and healthcare to all its citizens

[@_SMWX]

Check Chapter 4 in my first book Democracy and Delusion.

[@vuyanimaster2212]

@@_SMWX CIC of EFF has been speaking about it for ages.

[@thulaninene8789]

So ANC has really further destroyed whatever apartheid was busy destroying....

[@godfreythwala6123]

Why was i not hearing more of this guy

[@SIMHub-q1j]

EFF Policies must be put to test

[@stevenmaritz2681]

If Duma is not a guilty of magical thinking then the foxes of the world are truly the keepers of the henhouse(s) the vast majority of world over.

[@yougetaspear7799]

Something must give with this fatal anc/eff ruinous combo with all the sheeples lives on the line, instead of the people empowered to be the tip of the spear- starting those businesses themselves but rather wasted over 300 Billion and growing trying to prop up state enterprise failure, monies better used to diversify and grow the economy. So where does it all ends🤷🏿‍♂️🤷🏿‍♂️

[@bongumusasokhulu260]

There is a lot to ask and pick his brain on Mr Gqubule 😰😰😰😰😰😰😰😰

[@nkanelebeya3135]

What is this man's name?

[@zwai9532]

More safety nets that will not change the existing conditions of the citizens of the country especially the blacks that lack the make a plan and do for self mentality. Is this guy serious about more social grants that are driving the sales of alcohol. Is this guy seriious about free tertiary education with matriculant students passing rate @ 30%. Those matriculants afforded the chance to learn for free means more alcohol consumption for people who do not know what and why they studying whatever. All of these safety nets will result in wasteful expenditures of my hard earned money taxed by SARS.

[@mohaudmokoena1577]

I never took this comrade seriously in the past, perhaps because of the very short time allocated to interviews he does on News channels. I take my hat off. We to give him an hour for each topic discussed in this episode.

[@bulelanibaqwa]

This guy is talking voodoo economics.

[@molaudisekake4070]

what is voodoo economics?

[@bulelanibaqwa]

@@molaudisekake4070 Bush economics

[@AfroRU6246]

What is Bush Economics

[@suzettemafuna5324]

@@AfroRU6246 Just another cliché

[@thembanimgenu190]

Bhuti Duma utsho qoqosho qha qwaba, hayi ulwimi njeee. Futhi nje xa ethi "... I did some work no one can argue with me on this...not a populist I have done the numbers..."😅😂 And Prof Malekane usually say something like food inflation should be monitored and controlled to protect the poor not this wild and general increase of interest rates

[@ShakiraQwabe]

Patiently, waiting for you to start dabbling in apartheid distributional regimes, how the apartheid gov basically navigated the sanctions ( that a lot of people don’t know about judging from my tik tok reactions) through introducing what is essentially socialism for white people and fascism for blacks and between the apartheid gov and multinational orgs, they made sure that the socialists aspects were dismantled by 94… this is coming from a professional activist educator, masters student through both STEM and humanities.

[@dlepuno]

Never be shy to say you’re not religious, it actually means you’re woke😂😅

[@juniormolefe3046]

Gear a George Soros Washington think tank project 😅

[@emilkurtz8715]

⁹

[@ntsikelelomaqubela2754]

A poor guest. How are you vetting the brother? Felt he came into the interview with a self promotion agenda above all else. Strangely, reminded me of the Harvard professors who in the brilliant documentary "Inside Job" very quietly changed the titles of the papers they'd written prior to the Financial Crisis. And then after the crisis, changed the paper titles. Masters students at Top Tier universities in the country had these guys's textbook as the authors. Multiple textbooks! Lol! Still looking at the world through the lens of the last century. Economic models included. Static ideas forged in a fading construct . From a man who, quite candidly, stated he was advisor to the Presidency at some poinnt, but conveniently not recall why he conveniently left. It felt like a PR event. An unnecessarily long PR event... Didn't learn anything new here beyond another example of how fickle data is. Data is malleable and the world's greatest alchemists are economists.🤷🏾‍♂️Fact.

[@lurikaschubert5362]

He is talking rubbish. All needs to be structural reformed and privatised as Government f-up all they touch. Soon we won't even have water. Already do not have electricity.

[@thabusiwedi2664]

I like his idea of debt to jumpstart growth. It’s like a “leveraged buy out” investment approach on steroids. My only problem is that we cannot trust anybody to be a responsible custodian of these funds…

[@musankosi7616]

I think the smart minds are there the ideas are there the problem is governance.

[@stanfordmthombeni1001]

Absolutely scintillating! If Duma was Minister of Finance, RSA would be where we need it to be.

[@sompisiphinda1417]

You can sense that this guy is a well of economic knowledge. He just flows without thinking hard. Thank you Sizwe for bringing this guy to educate us.

[@matemba.ntanga]

Bring Mr Gqubule back please

[@michaelvanzyl8749]

Mmt would be the gratest disaster given the corruption track record of Sa from 1994 Mmt oly works where money creation follows productive purposes sorry this country cannot be trusted with sich a powerful force The people are the poblem and their behavior

[@mmatumzaidume1748]

Great chat 👏🏾👏🏾 Duma is a national treasure.

[@alexemergineer3202]

Sizwe when you do part 2, can it be targeted and address specific issues. Like unemployment, basic income grant, etc. ❤

[@KOMolema]

Like someone said, we need more of these episodes leaning towards economics. Someone who comes to mind is the Australian economist Steven Keen, he has some unorthodox views on how economies work. I believe he can really add value to our ossified and very orthodox view on economics

[@suzettemafuna5324]

One of the reasons we are in such bloody kak is that instead of listening to brilliant economists like Duma Qgubule and implementing ideas, strategies and advise he's been offering to government leaders over the years we'd rather import some foreign experts at humongous costs who might flounder and turn out as hopeless or worse than the ageing ministers with ancient ideas and strategies who should by now be retired and make way for younger, energetic economists who read, follow and are active participants in global financila developments and are passionate and enthusiastic about saving the country from ultimate disaster.

[@yougetaspear7799]

​@@suzettemafuna5324 why import any soul to begin with...what types of fools get to stage to talk about their ruinous state enterprises while dripping in luxury foreign gear to begin with...let alone what they drive, luxury houses full of which brands from where. It's a total abomination and unsustainable going forward hence they forever propping up endlesd state failures- monies better spent diversifying and growing the economy

[@ngezas100]

Great show Sizwe... I was just wondering possibilities of having these economist present their Economic proposals on your show in order to stimulate a more bigger and urgent debate on what to be done with our economy? Duma's insights on what should be done are amazing but it's one perspective so surely there are other perspectives out there and this is an urgent topic that needs to be tabled in the country because it affects us all. Just last week after the SARB announced an increase in the repo rate, I listened to Professor Bond saying the SARB made a huge mistake with the increase and again yesterday anoth respectable economist from AIDC said the entire SARB MPC should resign because they are no longer doing their jobs in the interest of the country. So Sizwe I want to suggest to you to bring more economist to present their Economic Proposal for the country.

[@lolongubeni1748]

Not Duma saying "some weird things" are going on describing the structural reforms in water😂😂😂

[@_SMWX]

😂

[@patricksylvester3716]

I agree with the two divisions of Eskom I would sell ofF 50% TO THE PRIVATE SECTOR TO GENERATE POWER WITH RENEWABLES wind , solar the government will hold on to the coal-generated plants can be retrofitted, These plants can capture and store CARBON waste UNDER-GROUND IN DISUSED MINES note caol will be used for the next 30 years to give the government time to build new age nuclear power generators

[@francoiswilliams]

No one will invest a single cent in Escom 😆😆😆😂

[@mahaseseleso1402]

Wonderful Audio, shout-out to you and your team

[@cradle8948]

Part2 is most needed, with urgency But please, plan for a proper long-form this time. Please...🙏

[@kennyleyland433]

Interesting expose on the Covid Grants. We were dribbled by the finance minister moving Funds around and the communication department spell bounding us to economic gymnastics. As for the Economic Summits. As deflating as a friend who convinces you that the Hillbrow Summit has new dancers and new acts. Such has been the Ramaphosa Administration. Thank you Sizwe. "Superior Logic" from a mainstream economist Reserve Bank mandate has to change (an RET policy) "Employment is not a responsibility of government" Ramaphosa Renewables not working and Eskom2 (Gov MUST INVEST IN GROWTH) my conclusion - The ANC needs to run its own country in Robin Island. It no longer has SA interests at heart

[@mburumbaappolus6728]

What I can term as the "South African Paradox" is a First-World financial/industrial economic structure, coupled with essentially an 80% majority African tribal societies/communities. As a result the new BEE/political elite have the superficial trappings of the First-World (German luxury vehicles, posh mansions, European holidays), but are at their core just villagers/township hoodlums (three prominent names that come to mind are JZ, Gwede and Paul Mashitile of "Alex Mafia" fame). Note that, with few exceptions, the new BEE elite do not engage in manufacturing/commercial agriculture/value addition and largely rely on government largesse (aka "tenders").

[@stanleynkosikamthembu168]

Your intention, your interest is as clear as daylight: insult south africans

[@thabangmnguni6539]

ncooh nice analysis but why exclude Cyril in all of this

[@tibbydudeza]

Correct - they are leeches - they don't contribute

[@francoiswilliams]

Korrek

[@francoiswilliams]

@@stanleynkosikamthembu168 You call yourself what?