Despite identifying debt as a weakness and one that is eating away the inheritance of
South Africa’s children it remains to be seen how government plans on stabilising it. The
minister went on to confirm that they will be seeking to borrow money from international
financial institutions. Oupa Lehulere, the Director of Khanya College, was interviewed on
Radio 786 to discuss these issues and provide his analysis more broadly on the Finance
Minister’s recent Special COVID-19 Budget.
Lehulere analyses little change that has been made to the allocation of expenditures, and particularly infrastructure since the budget announced February. His analysis also explores what this means about the government’s ability and commitment to making the necessary interventions in handling the pandemic in the short term, and also what this means for the state’s capacity to create growth and deal with similar and inevitable pandemics in the long-term. The global trend of 0-based budgeting approach that has been adopted by Finance Minister is also critiqued.
This interview took place on 25 June 2020, on Radio 786 (a radio station based in the Western Cape). You may share this interview, so long as you credit the authors and Karibu! Online (www.Karibu.org.za), and do not change the text. Please include a link back to the original post.