Loadshedding Has a Negative Impact on SA's Economy, Over 350 000 Jobs on the Line, Says Economist

Loadshedding Has a Negative Impact on SA's Economy, Over 350 000 Jobs on the Line, Says Economist

  • Continued loadshedding in South Africa could see over 300 000 people without employment by the end of the year
  • According to an economist, rolling blackouts are making it difficult for South Africa's economy to grow
  • South Africa's stalling economic growth means businesses will have difficulty growing and employment opportunities are not easily created

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JOHANNESBURG - The recent bouts of rolling blackouts in South Africa have the potential to lead to numerous job losses in the country.

Eskom recently announced that loadshedding could be implemented at a moment's notice should the power utility experience further breakdowns at its power stations.

Hours after the announcement, Eskom instituted loadshedding Stage 2 on Tuesday, which began at 4pm and ended Wednesday at 5am, after a unit at Kusile power station reportedly tripped, according to News24.

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Loadshedding, South Africa, economy, job losses
Continued loadshedding has resulted in South Africa's economic growth stalling. Image: Foto24
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No electricity for a number of periods has a negative impact not only on South African citizens but on businesses as well. An economist at PWC, Dr Christie Viljoen, projects that the country will lose approximately 350 000 jobs by the end of the year because of loadshedding, reports MoneyWeb.

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Viljoen explains that South Africa is seeing slower economic growth because of loadshedding. She says that if loadshedding was not the country's reality, we could be seeing an economic growth of 7%, however, rolling blackouts have placed the country's economic growth at 4%.

Viljoen says where there is less economic growth there will be fewer chances to create employment opportunities. She adds that businesses also struggle to grow when the economic growth is this low.

"Eskom don't think": R70 000 worth of merch stolen from shop during loadshedding

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Briefly News previously reported that South Africans are feeling seriously startled following a robbery in Pietermaritzburg. According to police reports, suspects took off with nearly R70 000 worth of merchandise, ransacking a local shoe store during loadshedding.

The incident took place at Rage clothing store on Church Street on Thursday evening. The burglars broke the front door and a security gate and stole clothes, shoes and jewellery, News 24 reports exclusively.

Speaking with the publication, police spokesperson Kholeka Mhlongo said the shop manager found the door open on Friday morning.

Source: Briefly News

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