Neelam Rahim | neelam@radioislam.co.za
3-minute read
05 September 2025 | 14:45 CAT

📸 ASRI Report: SASA’s Postbank exit, stalled political killings probe, and looming Eskom hikes deepen struggles for South Africans.

The Department of Social Development’s announcement that the South African Social Security Agency (SASA) is ending its contract with the Postbank has sparked confusion among millions of grant recipients.

According to political analyst Angelo Fick, the move raises concerns about poor planning and communication within government. Around 3 million South Africans currently receive their social grants through Postbank accounts, benefitting from a policy that exempted them from bank charges. With the contract scrapped, it remains unclear whether beneficiaries will now face service fees, leaving them with even less money in already dire circumstances.

“This is particularly troubling given that government had only recently attempted to migrate more recipients to Postbank in order to bolster the institution,” said Fick. “To now abandon this agreement, citing cost-effectiveness, undermines the very principle of serving citizens’ needs.”

The decision comes against the backdrop of Post Office and Postbank branch closures, which further complicate access for the country’s most vulnerable.

Meanwhile, tensions between Acting Police Minister and the Police Commissioner over 121 political killings dockets in KwaZulu-Natal highlight yet another case of institutional dysfunction.

“These are not minor disputes,” Fick stressed. “Political assassinations have haunted South Africa since the 1990s, particularly around elections, and citizens deserve a clear commitment that justice will be delivered.”

The dockets are at the heart of allegations raised by Lieutenant General Nhlanhla Mkhwanazi. Yet delays in launching the Madlanga Commission of Inquiry, coupled with clashing statements from government officials, risk eroding public trust. Families of slain politicians and officials are left waiting for closure while legal uncertainty stalls progress.

Fick warned that continued bungling by the Department of Justice and the police leadership threatens to deepen instability in KwaZulu-Natal and beyond.

Adding to citizens’ woes, an out-of-court settlement between energy regulator NERSA and Eskom may result in electricity tariffs rising by 3% over the next 24 months. The hike stems from a NERSA miscalculation of Eskom’s financial needs, a blunder that has severely dented confidence in the regulator’s competence.

With inflation and economic hardship already stretching household budgets, further increases in electricity prices will have ripple effects across goods and services.

“South Africans are being asked to dig deeper into pockets that are already empty,” Fick noted. “This could carry serious political consequences for the ANC-DA governing coalition as local government elections approach.”

The public backlash could see voters punishing coalition parties at the polls for what is widely perceived as mismanagement of essential services.

Listen to the full ASRI Report on Sabahul Muslim with Moulana Habib Bobat and Angelo Fick.