[TOP STORY] What will the finance minister prioritise in the October MTBPS?

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[LISTEN] Re MTBPS: We'd like to see govt use the tax overrun for growth-enhancing [projects], & to continue some of the social support that's been in place: Citadel's Maarten Ackerman on MoneywebNOW. MTBPS2022 minibudget TreasuryRSA podcast

SIMON BROWN: I’m chatting now with Citadel’s chief economist, Maarten Ackerman. Maarten, I appreciate the early morning. We’ve got our a Medium-Term Budget Policy Statement next Wednesday from the [finance] minister.

And you’re right, now the big question is okay, so what do we do with this? I think where we are right now, we are definitely in a slightly better position in terms of the fiscal cliff and the debt trap. But that really goes down to how they spend this. If they use this for a once-off stopping [up] a hole or something, then it’s unsustainable.

MAARTEN ACKERMAN: Yes. I do think there’s going to be something about that in the budget. In February, actually, they alluded to potentially looking at taking over some of the debt, and then indicated that there will be more in the mid-term budget.At the moment, the [finance minister Enoch Godongwana has] said that the final details will probably be tabled in the February [2023] budget.

SIMON BROWN: There are some critical SOEs [like] Eskom. And then of course [there are], with respect, SABC, SAA, a whole bunch of others, perhaps be less critical.

 

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Finance minister has BIG policy decisions to makeThe Eskom and cost-of-living crises facing SA mean FinMin Enoch Godongwana has tough choices to make when he delivers his minibudget next Wednesday. Moneyweb economy
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