Business News - 18 July 2025

Economic Overview

The South African rand was a touch stronger over the past four weeks against major currencies. It’s now trading around R17.8 per US$ and R23.9 per £, compared to roughly R18.0 and R24.2 a month ago – meaning the rand strengthened slightly versus the dollar and pound. Against the euro, it’s steady at about R20.7 per € (virtually unchanged from mid-June). In short, the rand gained a bit on the dollar and sterling while holding flat against the euro this past month.

It’s been a seesaw period for the rand. In mid-June, global trade tensions and tariff threats weighed on emerging markets – notably, the U.S. mulled steep tariffs on South African metals and other goods, which briefly weakened the rand toward R18/$. By early July, sentiment improved as hopes grew that South Africa and the U.S. might negotiate on trade issues, easing some fears. Locally, better-than-expected manufacturing and mining data gave the rand a boost, showing pockets of resilience in the economy. Higher prices for gold and other commodities also provided support, since stronger commodity exports tend to help the rand. On the other hand, uncertainty persists around the U.S.’s looming August 1 tariffs on South African exports (part of a broader trade tussle), which keeps investors cautious.

FlySafair Braces for Pilot Strike

South Africa’s popular low-cost airline FlySafair may face turbulence of a different sort: a potential pilots’ strike. The airline’s pilots and management have been in a deadlock over a new wage agreement and working conditions. The pilots’ union has warned that if talks fail, they could down tools – which would disrupt flights for thousands of travelers in the coming weeks.

FlySafair’s pilots are pushing for higher pay and better rostering (including how leave is scheduled), citing the airline’s strong growth in recent years. FlySafair rapidly expanded to become one of the country’s busiest domestic carriers, and pilots argue their workload and responsibilities have increased. The company, however, says it must manage costs carefully in a competitive market to keep fares affordable. Negotiations have been ongoing for months, and the Commission for Conciliation, Mediation and Arbitration (CCMA) was brought in to facilitate. Despite this, no deal has been reached so far. This week the pilots voted to authorize a strike if necessary – essentially giving their union a mandate to call a stoppage.

FlySafair management says it has a contingency plan to minimise disruption should a strike occur, including possibly hiring standby contract crew or consolidating flight schedules. It’s already started proactively reworking some flight timetables for later this month, just in case. Still, a strike would likely force many cancellations or delays, given that pilots are essential crew. For South African travelers used to FlySafair’s reliable service, this uncertainty is unwelcome news – especially during a normally busy travel period. Both sides say they’d prefer to settle rather than strike. Industry observers note that pilot strikes have hit airlines worldwide as post-pandemic travel rebounds and crews seek better terms. FlySafair will be hoping to avoid joining those ranks by reaching an agreement soon. In the meantime, passengers are advised to stay tuned for updates and flexible travel plans, as the clock ticks toward a possible industrial action.

Standard Bank Launches ‘Africa Forward’ Ad Campaign

Standard Bank, one of South Africa’s largest banks, has unveiled a new advertising campaign celebrating African growth and potential. The campaign – themed around “Africa is our home. We drive her growth.” – showcases uplifting success stories from around the continent and highlights Standard Bank’s commitment to African markets. In TV commercials and social media spots rolling out this week, viewers see entrepreneurs, farmers, and innovators achieving their goals with support from the bank. The messaging is in plain, hopeful language: emphasizing progress, self-belief, and the bank’s tagline that “It Can Be” (possible to overcome challenges).

This marketing push comes as Standard Bank operates in over 20 African countries and wants to reinforce its brand identity as a proudly African institution. The new ads show real scenes like a tech startup in Nairobi scaling up, a South African manufacturer expanding exports, and a community project lighting up homes – all with a subtle appearance of Standard Bank enabling those dreams. By focusing on client stories and African unity, the bank is clearly trying to connect emotionally with customers. A Standard Bank executive said the goal is to “champion Africa’s potential” and inspire confidence that economic growth and innovation will prevail despite current headwinds.

Brand experts note that many financial firms are moving away from dry product-focused ads toward more narrative, purpose-driven content. Standard Bank’s campaign is a prime example – it hardly mentions specific banking services. Instead it builds an image of the bank as a positive partner in development. Early reactions on social media have been warm, with viewers appreciating the optimistic tone. For Standard Bank, which competes with local rivals and international banks, reinforcing trust and goodwill is key. By doubling down on its African identity and success stories, it aims to strengthen customer loyalty. Expect to see these “Africa Forward” ads across billboards, radio, and digital channels in the coming weeks, as the blue bank bets on an uplifting message to keep its brand at the forefront.

Anglo American Mulls Sale of De Beers Stake

Global mining group Anglo American is reportedly exploring a sale of its De Beers diamond business, a move that has raised concern from a key partner. Botswana’s government – which owns 15% of De Beers – is uneasy about Anglo’s handling of a potential sale. Anglo American currently holds the other 85% of De Beers, one of the world’s top diamond companies. According to industry reports, Anglo has been considering a strategic shake-up of its portfolio, and selling down its stake in De Beers could free up capital and simplify the group. (Anglo has been streamlining its operations to focus on metals like copper and future-facing minerals.)

However, Botswana, as a long-standing De Beers stakeholder and the source of many of its diamonds, wants a say in any big ownership changes. Botswana’s officials have indicated they weren’t consulted early about Anglo’s sale intentions, and they worry a new owner might not honor the current partnership terms. The Botswana government has benefited from its De Beers stake through revenue sharing and joint ventures (the country sorts and markets a large share of De Beers’ stones). Any sale could impact those arrangements. Anglo American for its part has only said that it regularly reviews its assets and engages with stakeholders. Analysts note that Anglo recently fended off a takeover approach itself, so it’s under pressure to unlock value – selling a non-core business like diamonds might be one route.

For now, no formal deal has been announced, and Anglo is said to be in talks with Botswana to address their concerns. If Anglo does decide to reduce its De Beers holding, Botswana could even have rights to increase its share. The story underscores how sensitive strategic shifts in the mining sector can be, especially when national interests and historic partnerships are involved. Any change in De Beers’ ownership will be closely watched across Southern Africa, given the diamonds’ importance to several economies. Anglo American will need to tread carefully to maintain good relations – and Botswana will want assurances that its diamond industry benefits are safeguarded under any new structure.

SA Woos Chinese Carmakers for Local Production

The South African government is in discussions with three major Chinese automakers about investing in local vehicle production, as it seeks to bolster the country’s auto industry. Officials confirmed that talks are underway with several Chinese car companies to either set up assembly plants or expand operations in South Africa. This initiative comes amid a global shift to electric vehicles (EVs) and a need for South Africa to attract new manufacturers to sustain jobs and exports.

Though not officially named, the automakers are believed to include some well-known Chinese brands that have recently entered the South African market with affordable cars and EV models. (Possibilities include BYD, Great Wall Motor (GWM), and Chery Automobile, all of which have shown interest in global expansion.) South Africa already has a successful auto manufacturing base – with Toyota, VW, BMW, and others producing here – but most are traditional automakers. Adding Chinese manufacturers, especially those with electric vehicle technology, could help modernize the sector and keep the country relevant as the industry evolves.

Government representatives highlighted that these talks align with South Africa’s drive to attract foreign direct investment and create jobs. One proposal on the table is offering special economic zone incentives or tax breaks if a company commits to a plant. The timing is ripe: Chinese car exports are booming worldwide, and establishing an African manufacturing hub could make sense for them to avoid import tariffs (and be closer to regional markets). From South Africa’s side, securing a new EV assembly plant would be a win, given the global pivot away from combustion engines over the next decade.

No deals have been signed yet, and industry experts caution that automakers will weigh electricity supply stability and other local factors before committing. However, news of the talks has been welcomed in business circles. It signals that South Africa is proactively courting new players and not just relying on legacy automakers. If successful, a new wave of Chinese-built cars “Made in SA” could hit showrooms in a few years – bringing investment, technology transfer, and perhaps a greener auto sector. It’s a story of potential collaboration, showing that even in a competitive global market, South Africa is keen to remain an automotive manufacturing hub by embracing new partners.

MultiChoice Says It Needs Scale to Battle Streamers

MultiChoice, Africa’s largest pay-TV provider and owner of DStv, has sounded the alarm about the competitive onslaught from global streaming giants. In submissions to South Africa’s Competition Commission this week, MultiChoice argued that it “needs scale to survive” in a media landscape now dominated by the likes of Netflix, Amazon Prime Video, Disney+ and even short-form platforms like TikTok. The company is essentially saying that to compete effectively, it may require mergers, partnerships, or other expansion that would give it a bigger footing.

MultiChoice told regulators that its traditional satellite TV subscriber base is under pressure – South African consumers have more entertainment choices than ever, often at lower cost. The company’s core DStv service has lost some high-end subscribers to Netflix especially. It has responded by launching its own streaming app Showmax and cutting prices on certain bouquets, but growth has slowed. At a Competition Commission inquiry into the digital markets, MultiChoice executives noted that content costs (like sports rights) remain very high, while new competitors don’t face the same licensing and local content rules. They also pointed out that unlike global tech firms, MultiChoice can’t amortize costs across hundreds of millions of customers – its market is mostly sub-Saharan Africa.

The timing of these remarks is interesting. MultiChoice has been reportedly exploring a deal to bring a strategic partner into Showmax (to bolster its streaming content), and just last month it partnered with Comcast’s NBCUniversal and Sky to beef up Showmax’s offering. The company seems to be building a case that regulations limiting consolidation in the media sector might need to be relaxed to allow African players to join forces. They cite that globally, media companies are merging to achieve scale (as seen with WarnerMedia/Discovery, etc.). MultiChoice’s plea is essentially: “if we don’t bulk up, we could fade out.”

For consumers, this raises the question of whether we’ll see fewer but stronger African streaming options, or possibly bundles that combine international and local content. MultiChoice assures it’s not trying to stifle competition but rather survive in a changing world. The Competition Commission hasn’t made any rulings yet, but it’s listening. MultiChoice’s message underscores how disruptive streaming has been to traditional broadcasters. To adapt, even a former monopoly like DStv finds it must reinvent and possibly partner or consolidate. It’s a pivotal moment for the home-grown media company – adapt and grow, or risk being left behind in the global entertainment race.

TymeBank Hits Profitability After Rapid Growth

TymeBank, South Africa’s fast-growing digital bank, has reached a major milestone – it’s now profitable. Less than five years since launch, the branchless bank turned a profit, a rare achievement for a fintech startup in the banking sector. TymeBank’s CEO announced that as of mid-2025 the bank is “in the black”, thanks to surging customer numbers and transaction volumes.

TymeBank, which operates entirely online and through partnerships (like kiosks in retail stores), now boasts over 10 million customers in South Africa. It has been signing up around 150,000 new customers each month recently, making it one of the world’s fastest-growing digital banks. The bank offers low-fee accounts accessible via mobile app and has appealed especially to unbanked and cost-conscious consumers. As its user base swelled, TymeBank’s deposits have grown to roughly R7 billion, and it has started expanding its lending and insurance products cautiously.

Hitting profitability means TymeBank’s revenues from fees and services have outpaced its expenses (like technology infrastructure and customer acquisition costs). This is a significant point because many digital banks globally take years more to break even, if ever. TymeBank benefited from a lean cost model (no expensive branch network) and strategic investors, including Patrice Motsepe’s African Rainbow Capital and minority shareholders like Tencent and CDC Group, who provided funding and know-how. The bank also kept its offerings simple, building trust and volume in basic accounts before branching out.

To celebrate the milestone, TymeBank highlighted some success stats: customer service satisfaction scores are high, and usage is strong (millions of transactions processed monthly). It also joined the list of South Africa’s top 100 consumer brands in a recent survey – a sign of its growing presence in daily life. The bank is now preparing for its next chapter, which could include expansion elsewhere in Africa or Asia (Tyme’s technology is being used to launch a bank in the Philippines as well). For South Africa, TymeBank’s story is a welcome fintech success – showing that innovation and inclusion can go hand in hand. By offering affordable banking to mass-market customers, the newcomer not only proved a business case but also nudged bigger banks to improve their digital offerings. With profitability achieved, TymeBank looks set to intensify competition in banking, which should ultimately benefit consumers with better fees and services.

Zutari Engineering Group Names New Africa CEO

Zutari, a leading engineering consulting firm in South Africa, has appointed Tlhabeli Christopher “TC” Ralebitso as its new CEO for African operations. Effective 1 July 2025, Ralebitso takes charge as Chief Executive Officer: Africa, sharpening Zutari’s focus on infrastructure development across the continent. Zutari (formerly known as Aurecon’s Africa unit) is behind many big construction, energy and transport projects, and this leadership move underscores its commitment to African markets.

TC Ralebitso brings a unique blend of experience to the role. He’s a mechanical engineer by training with nearly 30 years’ experience ranging from hands-on engineering at Eskom and SAB (South African Breweries) in his early career, to high-level strategy and investment roles later on. Notably, he spent a decade in executive positions at Vodacom Group, including heading mergers & acquisitions and leading Vodacom’s venture capital arm. During that time, he helped drive Vodacom’s expansion beyond telecoms, so he’s no stranger to growing businesses in challenging environments.

In recent years, Ralebitso became an entrepreneur and investor, founding an infrastructure investment firm and building up a telecom infrastructure company through acquisitions. He’s been involved in healthcare projects (like expanding access to medical oxygen in several African countries) and served as an advisor to data analytics startups. This broad background – spanning engineering, telecoms, finance and development – positions him well to helm Zutari’s African operations, which require technical know-how and on-the-ground insight.

Zutari’s Group CEO, Teddy Daka, said Ralebitso’s appointment will strengthen the company’s leadership and “help co-create sustainable solutions across Africa.” The firm has been rebranding and localising its identity (having demerged from the global Aurecon brand in 2020) and is now 100% African-owned. With TC as Africa CEO, Zutari is likely to deepen its regional presence, partnering with governments and private clients on critical infrastructure – from roads and water systems to renewable energy and urban development projects.

The appointment also highlights a broader trend of empowering local leadership in multinationals and large firms operating in Africa. Bringing in a home-grown leader with continental experience can improve client relationships and outcomes. Employees at Zutari have reacted positively, seeing TC Ralebitso as someone who understands both the technical and socio-economic aspects of projects. As he steps into the role, his mandate will be to drive growth, innovation and transformation within Zutari, ensuring the company remains a go-to advisor as Africa builds for the future.

Palabora Copper Mine Signs Big Solar Energy Deal

In a major shift toward greener power, Palabora Mining Company (PMC) – one of South Africa’s largest copper miners – has sealed a deal to source most of its electricity from solar energy. Palabora has entered a 12-year agreement called the “Marula Green Power” initiative, under which an independent energy developer will provide 132 MW of solar photovoltaic power plus a large battery storage system for the mine. This dedicated solar plant, coupled with a 360 MWh on-site battery, will supply a significant portion of Palabora’s electricity needs, reducing its reliance on Eskom’s grid and cutting its carbon footprint.

The move is a win-win: it ensures more reliable power for the mine’s operations (important given South Africa’s power shortages) and helps the company meet sustainability targets by using clean energy. Over the past year, load-shedding and power cost increases have hit mining companies hard, so many are turning to self-generation solutions. Palabora’s solar project is one of the mining sector’s largest renewable energy ventures to date. Construction of the solar farm is expected to begin soon on land near the mine in Limpopo province, and it could be fully operational by 2026. Once running, the solar + battery setup will supply daytime power and store excess for evening use, covering a large chunk of the mine’s 24-hour demand.

This deal also aligns with government’s recent relaxation of energy regulations, which now allow private power projects of any size. We’re seeing a green energy rush in mining – just recently, other big miners like Anglo American and Gold Fields have announced solar and wind projects for their sites. For Palabora Copper (which is owned by a consortium including foreign investors and the IDC), the solar partnership brings long-term electricity price certainty and ESG benefits (lower emissions). Community stakeholders have been consulted, and local job creation will come from the plant’s construction and maintenance.

Industry analysts applaud the initiative: it demonstrates how mining companies can be proactive in solving energy challenges while contributing to climate goals. Copper itself is a key metal for clean tech, so it’s fitting that a copper mine will be produced using solar power. Over the 12-year contract, the solar supplier will deliver steady power at agreed rates, and Palabora can focus on its core business of extracting and processing copper. It’s a shining example (literally) of how renewable energy is being integrated into heavy industry in South Africa. As more mines follow suit, these projects should ease pressure on the national grid and help the country transition to a more sustainable energy mix.

MC Mining Revives Uitkomst Colliery Plan

Junior coal miner MC Mining has announced a new plan to turn around its struggling Uitkomst Colliery in KwaZulu-Natal. The company revealed a revised life-of-mine plan and cost-cutting measures intended to improve the small colliery’s viability and extend its operating life. Uitkomst is a smaller, high-grade coal mine that supplies domestic and some export markets, but it has faced geological challenges and financial losses in recent years.

Under the new strategy, MC Mining will reconfigure the mine layout to access remaining coal seams more efficiently. They intend to introduce a hybrid mining method – combining continuous miners with conventional drilling – to boost productivity underground. The company is also renegotiating contracts with service providers and targeting a reduction in operating costs per tonne. MC Mining’s CEO said that recent operational studies gave them confidence that, with these changes, Uitkomst can remain cash-positive even at current coal prices. The mine’s life could be extended by several years, keeping about 230 jobs secure in the process.

This is a welcome development for MC Mining, which is a small-cap company on the JSE. Aside from Uitkomst, it has been trying to develop larger coking coal projects (like Makhado in Limpopo) but has faced delays. Keeping Uitkomst stable is important to generating interim cash flow. Market analysts note that domestic coal demand – for industrial heating and small power plants – still exists, so a leaner Uitkomst could fill a niche. However, the mine has to overcome periodic engineering hurdles (like challenging geology that affected output last year).

The new plan has been submitted to regulators and MC Mining’s board for approval. If all goes smoothly, the company will implement changes in the next quarter. They have also stepped up community and safety initiatives as part of the turnaround, aiming to ensure the mine operates responsibly. Coal mining in South Africa is generally under pressure due to environmental concerns, but junior miners like MC Mining are trying to balance that with short-term economic needs. Investors reacted cautiously optimistic to the news – the company’s stock edged up on the JSE after the announcement. Ultimately, MC Mining is betting that a smarter mining approach and tighter belt at Uitkomst will pay off, giving this small colliery a new lease on life in a very competitive sector.

Conclusion

This week’s headlines highlight an economy in transition – from heavy industry trying to adapt, to new players and technologies shaking up the status quo. We saw manufacturers like ArcelorMittal and MultiChoice grappling with global pressures and competition, while innovators such as TymeBank and renewable energy projects charted a forward-looking path. South African businesses are striving to be resilient and resourceful: mines are plugging into solar power, banks are reinventing their brands, and startups are reaching milestones that once seemed out of reach. A common theme is adaptation – whether through new leadership, new partnerships, or new strategies, companies are adjusting to a changing world.

Amid the challenges, there’s plenty of positive momentum. It’s encouraging to see investment talks for electric vehicle plants, a home-grown digital bank thriving, and firms across sectors embracing innovation (from AI to green tech). Even difficult news, like potential plant closures or strikes, remind us of the importance of collaboration between business, government, and labor to find solutions.

As always, Cham8ion Investments will continue to track these developments with a practical eye. South African business is nothing if not dynamic – and staying informed is key to staying ahead. If you found this edition useful, be sure to subscribe to Cham8ion Investments’ Trends & Insights for your weekly briefing on the news that matters. We’re here to help you make sense of the trends, spot the opportunities, and navigate the challenges. Until next week, let’s keep looking forward – the only way is up for those prepared with knowledge and insight!