Xi hails “comprehensive strategic partnership” with Russia
In Beijing this morning, Vladimir Putin and Xi Jinping signed a joint statement on further strengthening strategic coordination between China and Russia, and “deepening good-neighbourly and friendly cooperation”. Xi said that relations between China and Russia had continued to improve, reaching “the highest level of comprehensive strategic partnership”. This followed Putin’s saying the ties between their countries had reached an “unprecedentedly high level”. Analysts point out, however, that China will tread cautiously, as it wishes to maintain stable relations with the West, and, by showing it is capable of talking to all sides, play a bigger role on the world stage.
SA economic growth outlook hit by Middle East conflict – IIF
The Institute of International Finance (IIF) says South Africa’s improving economic outlook has been clouded by the Middle East conflict, which is pushing up energy costs and complicating monetary policy. The IIF cut its 2026 growth forecast from 1.7% to 1.3%, and anticipated inflation to average 4% this year, from a pre-war forecast of 3%. It noted, however, that port and rail reforms could benefit from cargo rerouting around the Cape.
More than R280b budgeted for grants to some 18 million South Africans
More than R280 billion has been budgeted this financial year for grants to more than 18 million vulnerable South Africans. The sum will be drawn from the total of R293 billion to be allocated to the South African Social Security Agency (Sassa) for monthly direct transfers covering grants to children, the elderly and people with disabilities. Details were given in Parliament by Sindiswe Chikunga, acting minister of social development. She said the total “includes an amount of R36.4 billion for the continuation of the Covid-19 social emergency relief grant. Sassa was also allocated R300 million to provide for the increased administration costs of the Covid-19 grant.”
Review of under-used lines next phase of rail network reform
Transnet is reviewing its vast 9, 000km secondary, underutilised, or nonfunctioning network of railway lines – B-Network routes – with a view to closing unviable lines and concessioning others to private operators. The B-Network comprises smaller, lower-traffic or damaged lines, while the A-Network constitutes the rest of Transnet’s 30,000km network, being high-volume corridors connecting major economic hubs such as mines and ports. The Transnet Rail Infrastructure Manager (TRIM), created to manage, maintain and regulate access to the national rail network, has now identified the first phase of the private sector participation programme on the low-density B-Network to be taken to the market. Progress in rehabilitating South Africa’s rail network was acknowledged this week by Business Leadership South Africa CEO Busi Mavuso, but she warned: “Delays mean ongoing losses in competitiveness. We’re making progress, but we’re still years behind where we should be.”
China confirms Boeing jet purchase
China has confirmed that it will buy 200 Boeing jets. This follows last week’s meeting in Beijing between US President Donald Trump and his Chinese counterpart Xi Jinping. China’s Commerce Ministry said that under the deal, the US would provide China with supply guarantees for aircraft engine parts and components. The two sides would also work towards an extension of the tariffs truce agreed in October and seek tariff cuts on $30bn or more of goods.
Sources: Reuters, Business Day, BBC, Netwerk24