Why Eskom’s Power Crisis Is South Africa’s Top Risk

A perennial crisis at South Africa’s monolithic electricity supplier, Eskom Holdings SOC Ltd., jeopardizes the nation’s entire economy. The state-owned utility can’t cover its costs and make interest payments on its mountain of debt, leaving it reliant on a series of government bailouts to stay afloat. The country has suffered intermittent power cuts since 2005 because dilapidated power plants can’t keep pace with demand. Now the government is splitting Eskom into three entities in the hope of r

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