MTBPS: SA's growing debt expected to be a thorn in the side for Godongwana

The government is indebted to the tune of around R5 trillion, but some economists believe the country is not at a crisis level just yet.

CAPE TOWN - The country’s growing debt is expected to be a major concern registered by Finance Minister Enoch Godongwana when he delivers his Medium-Term Budget Policy Statement in Parliament on Wednesday afternoon.

For every R100 that the government collects in revenue, R18 of it goes just to pay the interest on its debt.Chief economist at the Stellenbosch Univesity's Bureau for Economic Research Hugo Pienaar said South Africa's already feeling the pinch. Pienaar said while he doesn’t believe the country is facing an imminent fiscal crisis – there’s no denying that it’s in a worse position than it was six months ago owing to almost stagnant economic growth, and thus lower revenue collection.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

ewnupdates /  🏆 30. in ZA

South Africa Latest News, South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

MTBPS: Godongwana plans to raise borrowing to cushion the blow of budget cutsFinance Minister Enoch Godongwana admitted at the Kgalema Motlanthe Foundation’s annual Inclusive Growth Forum over the weekend that the Treasury has had to make some tough calls on government spending.
Read more »

MTBPS: Labour federations expect Godongwana to refrain from 'austerity measures'Trade union federations want Finance Ministerthe minister Enoch Godongwana to protect the public sector when he navigates South Africa's fiscus, and map a way forward for the country's finances.
Read more »

What Enoch Godongwana should announce in the MTBPSBusa says finance minister should cut spending and stay away from tax hikes.
Read more »

MTBPS: Unions set to complain, with business asking for cutsFinance Minister, Enoch Godongwana, faces a pivotal moment as the country teeters on the brink of a financial crisis.
Read more »

WC govt calls for service delivery to be made a priority in MTBPSWestern Cape Premier Alan Winde and the province's finance MEC, Mireille Wenger, have urged national government to place the needs of the people above those of the country’s failing SOEs.
Read more »

MTBPS: Labour and business sectors divided over proposed government spending cutsMTBPS: Labour and business sectors divided over proposed government spending cuts
Read more »