By Thebe Mabanga
The Road Accident Fund (RAF), currently the subject of a parliamentary inquiry over governance lapses, stood out sharply among state-owned entities (SOEs) that either showed improved performance or operated without requiring direct state bailouts, even when loss-making.
Even the struggling Denel, which received a R3.4 billion cash injection four years ago, is showing signs of stabilisation following the appointment of a new executive team.
The review of state-owned entities is contained in the Budget Review tabled by Finance Minister Enoch Godongwana on Wednesday in Cape Town.
The improvement of SOEs is a key pillar of government’s economic recovery strategy.
Collectively, they are responsible for electricity supply through Eskom, rail, ports and pipelines through Transnet, air travel infrastructure via Airports Company of South Africa, as well as development finance through institutions such as the Industrial Development Corporation.
“In the most recent financial year, the finances of major state-owned
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