National carrier SAA will get R10.5 billion from the fiscus to fund its business rescue process, which started back in December 2019.
Finance Minister Tito Mboweni on Wednesday tabled the medium-term budget policy statement in Parliament.
According to his statement, National Treasury expects SA gross debt to increase to R5.5 trillion 2023/4 as the country borrows to fund its budget expenditure. The economy, meanwhile, is expected to contract by -7.8% in 2020 due to the Covid-19 pandemic.
Government has also had to make adjustments to account for a R10.5 bailout to SAA and President Cyril Ramaphosa’s employment stimulus plan.
Mboweni described this budget as particularly challenging.
What do you think about the financial priorities and challenges laid out in his address? Do you agree with the finance minister’s stance?
Tell us what you think in the comments section below.
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