A lot was expected from the South African finance minister’s 2016 medium term budget which came amid an unfolding economic crisis including the higher education funding gap.
President Jacob Zuma Sleeping in Parliament during medium term budget presentation.
SowetanLive
The video which shows South African President Jacob Zuma sleeping in parliament during the 2016 mid term budget is symptomatic of a much larger problem of lack of respect for the public.
South Africans would have taken comfort if their finance minister had given assurances that there would be no more wasteful expenditure on South African Airways.
Reuters/Siphiwe Sibeko
South Africa’s finance minister claimed that a number of initiatives were in place to ensure that policies are actually implemented. But they were too broad and lacked urgency and conviction.
Fixing South Africa’s perilous education system will involve building consensus – a time-consuming process.
Reuters/Rogan Ward
South Africa’s government should put more effort into developing concrete strategies for dealing with the factors preventing the removal of the critical constraints on economic growth.
Finance minister Pravin Gordhan’s budget speech has put the ANC government’s plan to fight poverty and reduce inequality back in the spotlight.
Reuters/Siphiwe Sibeko
Finance minister Pravin Gordhan would need President Zuma’s undivided support to drive bold economic reforms. But, signs suggest that he does not have such support and is undermined by the president.
South African finance minister Pravin Gordhan had to tread carefully to please many competing interests in his budget.
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South Africa’s finance minister means well, especially in his bid to cut public sector expenditure. But his success requires strong leadership and strategic alignment across the entire public sector.
Energy in South Africa did not feature as a major part of the 2016 budget speech – unlike in 2015.
Reuters/Siphiwe Sibeko
The budget showed some sense of urgency but still fell short on implementation plans. There should have been more, particularly details on cost-cutting initiatives.
South Africa’s Finance Minister Pravin Gordhan speaks to President Jacob Zuma
REUTERS/Rogan Ward
Higher education has done as well as could have been expected from the 2016 Budget, given South Africa’s current economic circumstances.
Will South Africa’s Deputy President Cyril Ramaphosa (left) and President Jacob Zuma support the commitments to reform the economy?
REUTERS/Mike Hutchings
There are many good things about the budget, including the promised cut to the payroll, but many of the key commitments relating to how policies will support growth are, at best, pointers.
Health was not the priority in South Africa’s budget this year - more pressing issues took centre stage.
An upbeat Pravin Gordhan, South Africa’s finance minister (left) arrives to deliver his 2016 budget address to parliament in Cape Town.
Reuters/Mike Hutchings
Cutting the bloated public service wage bill, as the finance minister is doing, is critically important economically. But it is sure to be unpopular with the governing ANC’s powerful labour allies.
South Africa’s Finance Minister Pravin Gordhan delivers his 2016 budget address to parliament in Cape Town.
Reuters/Mike Hutchings
South Africa’s finance minister delivered a good mix of macro and micro-economic strategies to ensure the country survives economic uncertainty, restores confidence and achieves some growth.
South Africans take their cue from what Finance Minister Pravin Gordhan says about the country’s economic outlook.
Reuters/Mike Hutchings
Forecasts are crucial for all economic and business activity. But looking into the future involves uncertainty and risk. Forecasts may be inaccurate, which creates a serious dilemma for policy makers
Most ‘taxes’ in South Africa fall outside of the control and oversight of parliament.
Reuters/Schalk van Zuydam
South Africans spend billions of rands paying for services that should be provided by government, thus making the tax burden considerably higher than what appears in official tax data.
Public sector trade unions now dominate union membership in South Africa.
Reuters/Siphiwe Sibeko
Rising membership of public sector unions and the growing political influence of these unions have led to government workers earning a premium over their private sector counterparts.
Thousands of civil service employees gather during a protest march for higher pay at the Union Buildings in Pretoria in 2010.
EPA/Jon Hrusa
South Africa’s government should urgently announce a moratorium on civil service employment growth. The country has reached its upper limit in the number of civil servants that can be sustained.
Electricity pylons from Cape Town’s Koeberg nuclear power plant. State-owned companies help to provide infrastructure for economic development.
Reuters/Mike Hutchings
State-owned companies are not generally needed to provide goods. Rather, they are needed to provide the foundation for a well-functioning economy and a healthy, well-informed populace.