Minister Malusi Gigaba Archives

22 Feb 2018

BUDGET 2018 COMMENT: No wealth tax but taxing the wealthy

By Janice Roberts

In his 2018 Budget Speech, Finance Minister Malusi Gigaba has found a balance between raising taxes on the wealthy, broadening the tax base and providing a safety net for the poor. The rand appreciated somewhat and bond yields traded lower soon after the Minister started to speak, signalling firm approval from the markets.

01 Feb 2018

Watch out for VAT changes in 2018 Budget Speech

By Janice Roberts

February’s budget speech is expected to hit a slightly more optimistic note as a result of resurgence in business and consumer confidence. But South Africa’s growing debt levels and alarming budget deficit means that consumers should still prepare for the possibility of an increase in the VAT rate, cautions Maarten Ackerman, Chief Economist and Advisory...

29 Nov 2017

Stuart appointed as acting Deputy DG for Budget Office: Treasury

By Janice Roberts

Mr Ian Stuart has been appointed as the acting Deputy Director-General for the Budget Office, the National Treasury said in a statement today. This follows the application by Mr Michael Sachs for a lateral transfer from National Treasury to other areas of public service earlier this month. “Mr Stuart is currently the Chief Director for...

28 Nov 2017

Getting fiscal 'mix' right in Feb 2018 Budget a major determinant of investment status

By Janice Roberts

Credibility and confidence in economic policy will be key factors in evaluating the latest fiscal response to recent credit rating agency decisions. That’s the word from NWU School of Business and Governance Economist, Professor Raymond Parsons. “The decision by President Jacob Zuma to instruct the Presidential Fiscal Committee to actively tackle four key areas of...

27 Nov 2017

Minister of Finance convenes Budget Council Lekgotla

By Janice Roberts

The Minister of Finance, Malusi Gigaba, convened a Budget Council Lekgotla today, he said in a statement. “The main objective of the meeting is for government counterparts to learn from one another on best practices and processes that need to be in place to ensure a coordinated approach towards the inclusive economic growth agenda. “The...

25 Oct 2017

Public-sector wage bill crowds out other areas of spending

By Janice Roberts

According to the Medium Term Budget Policy Statement (MTBPS), public finances are facing growing strains and risks. “Several years of fiscal restraint have left funding gaps in a number of programmes, reflected in the build-up of unpaid accounts and financial imbalances. Without resolute action and planning to cut wasteful and inefficient spending areas, there is a...

25 Oct 2017

Gigaba: More needs to be done for higher education

By Janice Roberts

The student movement has correctly put the issue of higher education at the centre of the country’s transformation agenda, Minister of Finance, Malusi Gigaba said today as he delivered his Medium Term Budget Policy Statement (MTBPS) speech to parliament. “We cannot hope to grow and develop without the skills and intellectual capabilities that our universities...

25 Oct 2017

Gigaba: Eskom’s governance issues of major concern

By Janice Roberts

The failures of governance, leadership and financial management at Eskom are of grave concern. This is according to the Minister of Finance, Malusi Gigaba, who delivered his Medium Term Budget Policy Statement (MTBPS)speech to parliament today. “As government is guarantor over a significant portion of Eskom’s debt, it has become a significant risk to the...

25 Oct 2017

Gigaba: Strategic equity partner to be brought into SAA

By Janice Roberts

After the Treasury meets the new board of SAA, it will pronounce on its plans to consolidate aviation assets and bring in a strategic equity partner, Minister of Finance, Malusi Gigaba said today, as he delivered the country’s Medium Term Budget Policy Statement. “We believe a strategic equity partner can play an important role in...

25 Oct 2017

State-owned companies developing a poor reputation: Gigaba

By Janice Roberts

Recent years have seen several worrying developments with regard to state-owned companies (SOCs), with worrying trends of governance failures, corruption, operational inefficiency and the need for government bailouts. This is according to the Minister of Finance, Malusi Gigaba, who made his maiden budget speech to parliament today. “In this way, SOCs are developing a poor...

25 Oct 2017

MTBPS: Treasury identifies risk to the fiscus

By Janice Roberts

Government remains committed to operating within the expenditure ceiling over the medium term, the MTBPS said. In the current year, however, the recapitalisation of SAA and the South African Post Office put the ceiling at risk of a R3.9 billion breach. In addition, there are several risks to the fiscus over the period ahead: The...

25 Oct 2017

MTBPS: Revenue shortfall of R50.8 billion in 2017/18

By Janice Roberts

The National Treasury projects a revenue shortfall of R50.8 billion in 2017/18. “Lower revenue this year carries forward, and gross tax revenue is projected to fall short of the 2017 Budget estimates by R69.3 billion in 2018/19 and R89.4 billion in 2019/20,” the MTBPS said. “This reflects slowing economic growth, but may also suggest a profound...