In this article we return to South Africa (NYSE:EZA), a country that is currently experiencing a “perfect economic storm” as a combination of structural defects and delusional policy-making combine to produce a toxic economic cocktail comparable in nature to the Greek debt crisis. Why are we comparing Greece with South Africa? Like Greece, South Africa is now experiencing a fiscal crisis, thanks to protracted economic stagnation (declining tax revenues) and repeated bailouts for failing state-owned entities (SOEs) like Eskom.
As a result of this fiscal crisis, South African policymakers face some difficult