Wednesday, April 13, 2016

Minister of communications Faith Muthambi tells parliament 'funding of the SABC remains critical'; lack of funds negatively impacting the public broadcaster.

The minister of communications Faith Muthambi told parliament on Tuesday that "funding of the SABC remains critical", that a lack of public funding is negatively impacting South Africa's public broadcaster, and that the banning of alcohol advertising will have a massive adverse impact on the SABC's income.

"Public contributions to the revenues of the SABC still remains at less than 20%," said Faith Muthambi, who briefed parliament's portfolio committee on communications.

 The 60% funding requirement [a proposed resolution adopted by the ANC political party as its plan for the SABC] remains a distant possibility."

"This [lackof public funding] has a profound impact on the nature and extent of services provided by the SABC," said Faith Muthambi.

Faith Muthambi warned parliament that the potential legislation banning the advertising of alcohol products on television will have a massive adverse impact on the SABC's annual advertising income.

According to her research, an alcohol advertising ban in South African media would see the SABC lose 8.5% of its advertising income.