South Africa Broadcasting Corporation to lose R568 million

The Public Broadcaster’s Management Team revealed on Tuesday, March 12 in Parliament that the South African Broadcasting Corporation (SABC) is at the level of factual insolvency by the end of March.

The team explained that a net financial loss of R568 million for the financial year has been observed.

The Chief Executive Officer of the Public Broadcaster Management, Madod Mxakwe, said in a briefing to Parliament Portfolio Committee on Communications that the loss was R281 million which is more than expected.

Mr. Mxakwe noted that the company was suffering for “the past total disregard for process” it experience under the past management teams.

The effects of the financial crisis involved content providers refusing to have discussions with SABC because they have not received their money, and the company not being able to buy the rights to air sports events.

The SABC has not been able to have routine building maintenance and this will pose health and safety issues.