Finance Minister Enoch Godongwanathat the effect of the violence was likely to burden the economy for the next six quarters, according to available research on the economic effects of civil unrest.
The latest GDP figures, released this week, showed 1.2% growth in the second quarter of this year, although real GDP was 1.4% less, at R1.131-trillion, than before theGodongwana, who would not be drawn into commenting about the, said the recovery and reconstruction plan was focused on jobs and growth, creating structural reforms, and maintaining fiscal sustainability. This, the minister added, would focus on capital rather than consumption expenditure.
Opposition parties put it to the finance minister that recovery was unlikely without dealing with state corruption, which was leaking public money through poor procurement processes., set to be tabled before parliament, was likely to improve state procurement challenges.