President Cyril Ramaphosa. (GCIS)
My fellow South Africans,
It is a week since we
declared the coronavirus pandemic a national disaster and announced a package
of extraordinary measures to combat this grave public health emergency.
The response of the South
African people to this crisis has been remarkable.
Millions of our people have
understood the gravity of the situation.
Most South Africans have
accepted the restrictions that have been placed on their lives and have taken
responsibility for changing their behaviour.
I am heartened that every
sector of society has been mobilised and has accepted the role that it needs to
play.
From religious leaders to
sporting associations, from political parties to business people, from trade
unions to traditional leaders, from NGOs to public servants, every part of our
society has come forward to confront this challenge.
Many have had to make
difficult choices and sacrifices, but all have been determined that these
choices and sacrifices are absolutely necessary if our country is to emerge
stronger from this disaster.
Over the past week, South
Africans have demonstrated their determination, their sense of purpose, their
sense of community and their sense of responsibility.
For this, we salute you and
we thank you.
On behalf of the nation, I
would also like to thank the health workers, our doctors, nurses and paramedics
who are on the frontline of the pandemic, our teachers, border officials,
police and traffic officers and all the other people who have been leading our
response.
Since the national state of
disaster was declared, we have put in place a range of regulations and
directives.
These regulations have
restricted international travel, prohibited gatherings of more than 100 people,
closed schools and other educational institutions and restricted the sale of
alcohol after 6pm.
We reiterate that the most
effective way to prevent infection is through basic changes in individual
behaviour and hygiene.
We are therefore once more
calling on everyone to:
- wash hands frequently with hand
sanitisers or soap and water for at least 20 seconds;
- cover our nose and mouth when
coughing and sneezing with tissue or flexed elbow;
- avoid close contact with anyone with
cold or flu-like symptoms.
Everyone must do everything
within their means to avoid contact with other people.
Staying at home, avoiding
public places and cancelling all social activities is the preferred best
defence against the virus.
Over the past week, as we
have been implementing these measures, the global crisis has deepened.
When I addressed the nation
last Sunday there were over 160,000 confirmed COVID-19 cases worldwide.
Today, there are over
340,000 confirmed cases across the world.
In South Africa, the number
of confirmed cases has increased six-fold in just eight days from 61 cases to
402 cases.
This number will continue
to rise.
It is clear from the
development of the disease in other countries and from our own modelling that
immediate, swift and extraordinary action is required if we are to prevent a
human catastrophe of enormous proportions in our country.
Our fundamental task at
this moment is to contain the spread of the disease.
I am concerned that a rapid
rise in infections will stretch our health services beyond what we can manage
and many people will not be able to access the care they need.
We must therefore do
everything within our means to reduce the overall number of infections and to
delay the spread of infection over a longer period – what is known as
flattening the curve of infections.
It is essential that every
person in this country adheres strictly – and without exception – to the
regulations that have already been put in place and to the measures that I am
going to announce this evening.
Our analysis of the
progress of the epidemic informs us that we need to urgently and dramatically
escalate our response.
The next few days are
crucial.
Without decisive action,
the number of people infected will rapidly increase from a few hundred to tens
of thousands, and within a few weeks to hundreds of thousands.
This is extremely dangerous
for a population like ours, with a large number of people with suppressed
immunity because of HIV and TB, and high levels of poverty and malnutrition.
We have learnt a great deal
from the experiences of other countries.
Those countries that have
acted swiftly and dramatically have been far more effective in controlling the
spread of the disease.
As a consequence, the
National Coronavirus Command Council has decided to enforce a nation-wide
lockdown for 21 days with effect from midnight on Thursday 26 March.
This is a decisive measure
to save millions of South Africans from infection and save the lives of
hundreds of thousands of people.
While this measure will
have a considerable impact on people’s livelihoods, on the life of our society
and on our economy, the human cost of delaying this action would be far, far
greater.
The nation-wide lockdown
will be enacted in terms of the Disaster Management Act and will entail the
following:
- From midnight on Thursday 26 March
until midnight on Thursday 16 April, all South Africans will have to stay at
home.
- The categories of people who will be
exempted from this lockdown are the following: health workers in the public and
private sectors, emergency personnel, those in security services – such as the
police, traffic officers, military medical personnel, soldiers – and other persons necessary for our
response to the pandemic.
It will also include those involved in the production,
distribution and supply of food and basic goods, essential banking services,
the maintenance of power, water and telecommunications services, laboratory
services, and the provision of medical and hygiene products. A full list of
essential personnel will be published.
- Individuals will not be allowed to
leave their homes except under strictly controlled circumstances, such as to
seek medical care, buy food, medicine and other supplies or collect a social
grant.
- Temporary shelters that meet the
necessary hygiene standards will be identified for homeless people. Sites are
also being identified for quarantine and self-isolation for people who cannot
self-isolate at home.
- All shops and businesses will be
closed, except for pharmacies, laboratories, banks, essential financial and
payment services, including the JSE, supermarkets, petrol stations and health
care providers.
Companies that are essential to the production and
transportation of food, basic goods and medical supplies will remain open.
We will publish a full list of the categories of businesses
that should remain open.
Companies whose operations require continuous processes such
as furnaces, underground mine operations will be required to make arrangements
for care and maintenance to avoid damage to their continuous operations.
Firms that are able to continue their operations remotely
should do so.
- Provision will be made for essential
transport services to continue, including transport for essential staff and for
patients who need to be managed elsewhere.
The nation-wide lockdown is
necessary to fundamentally disrupt the chain of transmission across society.
I have accordingly directed
the South African National Defence Force be deployed to support the South
African Police Service in ensuring that the measures we are announcing are
implemented.
This nationwide lockdown will be accompanied
by a public health management programme which will significantly increase
screening, testing, contact tracing and medical management.
Community health teams will
focus on expanding screening and testing where people live, focusing first on
high density and high-risk areas.
To ensure that hospitals
are not overwhelmed, a system will be put in place for ‘centralised patient
management’ for severe cases and ‘decentralised primary care’ for mild cases.
Emergency water supplies –
using water storage tanks, water tankers, boreholes and communal standpipes –
are being provided to informal settlements and rural areas.
A number of additional
measures will be implemented with immediate effect to strengthen prevention
measures. Some of those measures are that:
- South African citizens and residents
arriving from high-risk countries will automatically be placed under quarantine
for 14 days.
- Non-South Africans arriving on
flights from high-risk countries we prohibited a week ago will be turned back.
- International flights to Lanseria
Airport will be temporarily suspended.
- International travellers who arrived
in South Africa after 9 March 2020 from high-risk countries will be confined to
their hotels until they have completed a 14-day period of quarantine.
Fellow South Africans,
Our country finds itself
confronted not only by a virus that has infected more than a quarter of a
million people across the globe, but also by the prospects of a very deep
economic recession that will cause businesses to close and many people to lose
their jobs.
Therefore, as we marshal our
every resource and our every energy to fight this epidemic, working together
with business, we are putting in place measures to mitigate the economic impact
both of this disease and of our economic response to it.
We are today announcing a set of interventions that will
help to cushion our society from these economic difficulties.
This is the first phase of the economic response, and
further measures are under consideration and will be deployed as needed.
These interventions are quick and targeted.
Firstly, we are supporting the
vulnerable.
- Following consultation with social
partners, we have set up a Solidarity Fund, which South African businesses,
organisations and individuals, and members of the international community, can
contribute to.
The Fund will focus efforts to combat the spread of the
virus, help us to track the spread, care for those who are ill and support
those whose lives are disrupted.
The Fund will complement what we are doing in the public
sector.
I am pleased to announce that this Fund will be chaired by
Ms Gloria Serobe and the deputy Chairperson is Mr Adrian Enthoven.
The Fund has a website – www.solidarityfund.co.za – and you
can begin to deposit monies into the account tonight.
The Fund will be administered by a reputable team of people,
drawn from financial institutions, accounting firms and government.
It will fully account for every cent contributed and will
publish the details on the website.
It will have a board of eminent South Africans to ensure
proper governance.
To get things moving, Government is providing seed capital
of R150 million and the private sector has already pledged to support this fund
with financial contributions in the coming period.
We will be spending money to save lives and to support the
economy.
In this regard, we must applaud the commitment made in this
time of crisis by the Rupert and Oppenheimer families of R1 billion each to
assist small businesses and their employees affected by the coronavirus
pandemic.
- We
are concerned that there are a number of businesses that are selling certain
goods at excessively high prices. This cannot be allowed.
Regulations have been
put in place to prohibit unjustified price hikes, to ensure shops maintain
adequate stocks of basic goods and to prevent people from ‘panic buying’.
It is important for all
South Africans to understand that the supply of goods remains continuous and
supply chains remain intact.
Government has had
discussions with manufacturers and distributors of basic necessities, who have
indicated that there will be a continuous supply of these goods. There is
therefore no need for stockpiling of any items.
- A
safety net is being developed to support persons in the informal sector, where
most businesses will suffer as a result of this shutdown. More details will be
announced as soon as we have completed the work of assistance measures that
will be put in place.
- To alleviate congestion at payment
points, old age pensions and disability grants will be available for collection
from 30 and 31 March 2020, while other categories of grants will be available
for collection from 01 April 2020.
All channels for access will remain open, including ATMs,
retail point of sale devices, Post Offices and cash pay points.
Secondly, we are going to
support people whose livelihoods will be affected.
- We
are in consultation on a proposal for a special dispensation for companies that
are in distress because of COVID-19. Through this proposal employees will
receive wage payment through the Temporary Employee Relief Scheme, which will
enable companies to pay employees directly during this period and avoid
retrenchment.
- Any
employee who falls ill through exposure at their workplace will be paid through
the Compensation Fund.
- Commercial
banks have been exempted from provisions of the Competition Act to enable them
to develop common approaches to debt relief and other necessary measures.
We have met with all
the major banks and expect that most banks will put measures in place within
the next few days.
- Many
large companies that are currently closed have accepted their responsibility to
pay workers affected. We call on larger businesses in particular to take care
of their workers during this period.
- In
the event that it becomes necessary, we will utilise the reserves within the
UIF system to extend support to those workers in SMEs and other vulnerable
firms who are faced with loss of income and whose companies are unable to
provide support. Details of these will be made available within the next few
days.
Thirdly, we are assisting
businesses that may be in distress.
- Using
the tax system, we will provide a tax subsidy of up to R500 per month for the
next four months for those private sector employees earning below R6,500 under
the Employment Tax Incentive. This will help over 4 million workers.
- The
South African Revenue Service will also work towards accelerating the payment
of employment tax incentive reimbursements from twice a year to monthly to get
cash into the hands of compliant employers as soon as possible.
- Tax
compliant businesses with a turnover of less than R50 million will be allowed
to delay 20% of their pay-as-you-earn liabilities over the next four months and
a portion of their provisional corporate income tax payments without penalties
or interest over the next six months. This intervention is expected to assist
over 75 000 small and medium-term enterprises.
- We
are exploring the temporary reduction of employer and employee contributions to
the Unemployment Insurance Fund and employer contributions to the Skill
Development Fund.
- The
Department of Small Business Development has made over R500 million available
immediately to assist small and medium enterprises that are in distress through
a simplified application process.
- The
Industrial Development Corporation has put a package together with the
Department of Trade, Industry and Competition of more than R3 billion for
industrial funding to address the situation of vulnerable firms and to
fast-track financing for companies critical to our efforts to fight the virus
and its economic impact.
- The
Department of Tourism has made an additional R200 million available to assist
SMEs in the tourism and hospitality sector who are under particular stress due
to the new travel restrictions.
I want to make it clear
that we expect all South Africans to act in the interest of the South African
nation and not in their own selfish interests.
We will therefore act very
strongly against any attempts at corruption and profiteering from this crisis.
I have directed that
special units of the NPA be put together to act immediately and arrest those
against who we find evidence of corruption.
We will work with the
judiciary to expedite cases against implicated persons and make sure the guilty
go to jail.
South Africa has a safe, sound, well-regulated and
resilient financial sector.
Since the global financial crisis, we have taken steps to
strengthen the banking system, including increasing capital, improving
liquidity and reducing leverage.
With a strong financial sector and deep and liquid
domestic capital markets, we have the space to provide support to the real
economy.
We can make sure money flows to firms and households.
We can ensure that our markets are efficient.
Last week, in line with its Constitutional mandate, the
South African Reserve Bank cut the repo rate by 100 basis point. This will
provide relief to consumers and businesses.
The South African Reserve Bank has also proactively
provided additional liquidity to the financial system.
The Governor has assured me that the Bank is ready to do
‘whatever it takes’ to ensure the financial sector operates well during this
pandemic.
The banking system will remain open, the JSE will continue
to function, the national payment system will continue to operate and the
Reserve Bank and the commercial banks will ensure that bank notes and coins
remain available.
The action we are taking now will have lasting economic
costs.
But we are convinced that the cost of not acting now would
be far greater.
We will prioritise the lives and livelihoods of our people
above all else, and will use all of the measures that are within our power to
protect them from the economic consequences of this pandemic.
In the days, weeks and
months ahead our resolve, our resourcefulness and our unity as a nation will be
tested as never before.
I call on all of us, one
and all, to play our part.
To be courageous, to be
patient, and above all, to show compassion.
Let us never despair.
For we are a nation at one,
and we will surely prevail.
May God protect our people.
Nkosi Sikelel’ iAfrika.
Morena boloka setjhaba sa heso.
God seën Suid-Afrika. God
bless South Africa.
Mudzimu fhatutshedza
Afurika. Hosi katekisa Afrika.
I thank you.