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ECONOMIC REVIEW

Schalk Louw says that the way to determine the value of the Rand/Dollar exchange rate is to weaken it at the same rate as the difference between the South African and American inflation rates. Given parity in 1981, the R/$value should beR7.55/$1 at present. The current premium of 66% has been observed on at least 3 occasions since 1981; in 1985, in 2001 and in 2008. On average he says the Rand traded at an average premium of 36% to the dollar over the past 22 years. Standard Bank says that the primary reason for our low R/$ exchange rate is owing to the R189Bn shortfall on our current account.

BUSINESS REVIEW

Cutifano (Anglo CEO) has said that our adversarial industrial relations need to change or job losses wont and continue, but accelerate.
In this respect it is said that our worst strike season, 3 years ago, cost the gold and platinum industries R16bn: that number is set to rise considerably.

VW has overtaken Toyota in global vehicle sales.

The 1st phase of the Richards Bay Industrial Development Zone has been launched in a sod-turning function for a pipe manufacturing plant. As long as they don

PROPERTY REVIEW

I would be happy to send a calculator for bond v rentals to those who request for it.

One of the more prominent changes to the sectional title regulations is the return of power of trustees to increase levies before an annual general meeting by up to 10%.

Absa says that bank lending rates have been raised by 100 basis points since the start of last year and further rate hikes are expected towards the end of the year. It is not expected that house owners will be compromised by the increases but the effect will be a weakening of sales.

PRACTICE REVIEW

The Mandini municipality has launched a High Court application to recover R22m in rates from the Ingonyama Trust. This is going to be interesting.

Our Minister of Communications has been availing herself of the legal services of an attorney that was struck off the role since 2007. Incomprehensible.

CASES & SUCH

Huur gaat voor koop & bonds

A property was bought at an auction. The tenant refused to budge, holding that it held a lease. The lease had been entered into without the consent of the bondholder

QUOTABLES

The roots of education are bitter, but the fruit is sweet. Aristotle

There is nothing new in art except talent. Anton Chekhov

WEIRD & WONDERFUL

Research is now being done on a neglected area of our history

LIGHTEN UP

How come you never see a headline like