Communications Minister Solly Malatsi has announced that US$37.8 million from the 2026 Budget will be allocated to help the South African Broadcasting Corporation (SABC) settle its debt with the state signal distributor, Sentech. The SABC’s outstanding debt, estimated at around US$81 million, has led to significant financial instability for Sentech, which is crucial for signal distribution in the country.
During an interview with SABC News following the Budget Speech on 25 February 2026, Malatsi emphasised the importance of the funding, stating, “The US$37.8 million will be earmarked for clearing the SABC’s debt to Sentech.” He also highlighted that ensuring Sentech’s liquidity is vital to maintaining public access to radio and television.
Sentech has faced ongoing challenges due to the SABC’s failure to pay for its services, prompting concerns of a potential blackout for public broadcasting. In October 2025, Sentech indicated it could no longer endure the financial strain caused by the SABC’s non-payment.
Tebogo Leshope, CEO of Sentech, referred to the situation as “extremely urgent” during a presentation to the Portfolio Committee on Communications and Digital Technologies. He stressed that the lack of payments cannot wait for the resolution of the SABC Bill or any new funding model for the broadcaster. Leshope reported that the SABC had short-paid its signal distribution invoices by approximately 25% to 30% during the 2025 financial year, with monthly invoices averaging US$3.6 million.
In response to the ongoing crisis, the National Treasury stepped in, providing US$37.8 million to assist Sentech. Nonkqubela Jordan-Dyani, the director-general for the Department of Communications and Digital Technologies, confirmed that the funds were received on 9 February 2026.
Clarinda Simpson, Sentech’s CFO, noted that the company is currently not considered financially viable, revealing that they had just US$9.5 million available at the time of their presentation. She explained that other broadcasters’ failure to meet their financial obligations has exacerbated Sentech’s financial difficulties.
In addition to the US$37.8 million for signal distribution, Sentech will also receive US$10.2 million for dual illumination, aimed at supporting the transition from analogue to digital television transmission. Jordan-Dyani clarified that this funding should not be viewed as a debt write-off, as the financial challenges affecting the SABC are also shared by other entities, including the Universal Service and Access Agency of South Africa, which owes US$5.1 million, and various community broadcasters, which collectively owe US$1.8 million.
