/ 8 July 1997

Local govt to submit qwuarterly financial reports

TUESDAY, 11.00AM

NEW regulations are about to be promulgated which compel local authorities to submit quarterly financial reports to the provincial affairs and constitutional development ministry.

The move comes in the wake of findings by Project Viablity, a ministry initiative to monitor local government finances, that show about 200 local councils are in financial trouble — about twice the number expected. The ministry is to gazette the new regulations early next week, after receiving a poor response to questionnaires on the financial health of local authorities.

In addition to submitting quarterly reports to the ministry, council treasurers will be obliged to submit monthly, quarterly and annual reports to their councils.

BUSINESS BRIEFS

BOARD PROBES SAB THE Compwetition Board has launched and investigation into brewing giant SA Breweries to establish whether it has a monopoly in the alcoholic beverage industry and whether any industry agreements constitute restrictive practices. A notice gazetted on Friday says the probe will examine SABs shareholdings and representation in other enterprises in the industry to determine whether they give rise to or constitute a monopoly.

MERGER CEMENTED BLUE Circle Cement, a Murray & Roberts subsidiary and the smallest of the country’s three cement producers, on Monday merged its business with that of Ready Mix Materials, another M&R subsidiary. A proposed merger between Blue Circle and second largest cement producer Alpha was last year blocked by the Competition Board.

SA-ALGERIA LINKS THABO MBEKI has visited strife-torn Algeria, and announced joint trade and investment deals with the military government in Algiers. South Africa will open its first embassy in Algiers, and will co-operate with Algeria on economic, cultural, scientific and technical projects.

HARARE BUILDING STRIKE HUNDREDS of Harare construction workers went on strike on Monday, demanding increases of 32% and improved working conditions and hours. The strikes follow a spate of similar labour action by clothing, banking, hotel and catering workers demanding higher wages.

ZAMBIA BLOCKS KENYA FLIGHTS ZAMBIA has withdrawn flight facilities for Kenya Air, following a weeks-long dispute over an arrangment between the Kenyans and the Dutch airline KLM, which Zambia considers to be in competition with the Zambian carrier. Zambia accuses Kenya Airways of violating an agreement for a maximum of three flights in each other’s country. Kenya Airways accuses Zambia of arrogance and of being unco-operative in efforts to resolve the matter.