Cape Town - Key state companies and agencies that play a pivotal role in driving the South African economy and distributing essential services are in disarray, as a high turnover of senior management hobbles their ability to take decisions and massive losses threaten their financial viability.
The “perilous financial state” of some of the companies may require government bailouts, BMI Research, a unit of Fitch Ratings, said in a report. We “continue to see the severely weakened financial condition of state-owned enterprises as a significant risk to the country’s fiscal health,” it said.
These are some of the worst-affected institutions:
