Big changes to the lottery in South Africa, and the driving licence bill for taxpayers

The rand strengthened on Monday against a weaker dollar, despite a continued decline in local manufacturing sentiment and positive vehicle sales figures. 

The rand traded at R17.89 to the dollar, approximately 0.6% firmer than Friday’s closing level. 

The seasonally adjusted Purchasing Managers’ Index dropped for the seventh straight month. Survey respondents reported ongoing logistical issues that have hindered demand. 

However, the dollar was last seen about 0.7% weaker against a basket of currencies, as U.S.-China trade tensions persisted and investors adopted a defensive stance ahead of U.S. jobs data. 

On the JSE, the Top-40 index jumped by 0.8%. South Africa’s benchmark 2035 government bond weakened, with the yield increasing by eight basis points to 10.24%.

On Tuesday, 3 June, the rand was trading at R17.89 to the dollar, R24.19 to the pound and R20.43 to the euro. Oil was trading slightly lower at $64.81 a barrel.

Here are five other important things happening in and affecting South Africa today:

Big lottery changes: Sizekhaya Holdings, South Africa’s new lottery operator, intends to reduce lottery draws while increasing jackpot sizes. The company also plans to reintroduce scratchcards and focus on sports pool betting. After eight years, the new operator wants the government to take over lottery operations. [News24]

Taxpayers’ driving licence machine bill: South Africa’s sole driving licence card printer has incurred over R16 million in maintenance and overtime labour costs for taxpayers since the start of the 2022/23 financial year. This was revealed in a recent Parliamentary Q&A. [MyBroadband]

Trump chaos boosts stocks in South Africa: Sygnia CEO Magda Wierzycka says that South African equities have benefited from the market turmoil caused by US President Donald Trump. This is due to increased demand for commodities in the EU, and Naspers benefitting from Tencent’s strong performance. [News24]

Fuel hikes will be offset: The Treasury says the fuel levy increase’s impact on food prices will be mitigated by a diesel refund for agriculture and public transport subsidies for low-income individuals. This is according to Chris Axelson, the new deputy director-general for tax and financial sector policy, who defended the increase in Parliament. [Business Day]

No vaping in public proposed: South Africa’s new tobacco bill is proposing new measures to tighten tobacco control. Vaping and smoking will now face the same public restrictions, which would outlaw vaping in public. [eNCA]