“Unforeseen spending has impacted South Africa’s GDP” – Gondongwana

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[Picture: GCIS]

Finance Minister Enoch Godongwana said that unforeseen spending has impacted the country’s economy.

Delivering his Medium-Term Budget Policy Statement on Wednesday, the minister noted that R 5-billion has been set aside for SANRAL to cover e-toll debt.

In response to the Medium-Term Budget Policy Statement, economist at the Alternative Information Development Centre (AIDC), Dominic Brown noted that there is a push towards de-risking the country’s GDP.

“While this is necessary, there is too much focus directed at the private sector, instead of being to the benefit of citizens. Operation Vulindlela, which is directed to guaranteeing profits for a minority is causing more damage to the country’s economy.” said Brown.

South Africa’s military deployments in the Democratic Republic of Congo (DRC) is another unexpected spending item, as well as the bloated Cabinet under the so-called Government of National Unity (GNU) incurring more costs.

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