Subscribe to the bi-annual report
  • This field is for validation purposes and should be left unchanged.
Assessing and promoting civil and minority rights in South Africa.

[Source: Business Day by Carol Paton.]

Will Cyril Ramaphosa be the president of austerity or will he be the president who lands SA on the doorstep of the IMF? Those are the alternatives he now faces. 

The news 10 days ago that Fitch Ratings expects the budget deficit to reach 6.3% and the debt-to-GDP ratio to hit 68% has pulled Ramaphosa’s choices into sharp focus. Only five months ago the National Treasury projected a budget deficit of 4.5% and a debt-to-GDP ratio of 60.2%. As the credit ratings agencies get privileged access to Treasury information and officials, the Fitch statement was time to sit up and take notice.

When business leaders met cabinet ministers from the economic cluster two weeks ago, and again when they met Ramaphosa along with labour leaders at Nedlac last Thursday, the key issue — apart from the disastrous unemployment statistics — was the country’s runaway debt scenario.

Continue reading here.

South Africa at a Glance
58 780 000 (mid 2018 estimate)
4.5% y/y in June 2019 (CPI) & +5.8 y/y in June 2019 (PPI)
-3.2% q/q (1st quarter of 2019)
More information: Click here!