Tax revenue declines, debt grows…

Yesterday South Africa’s Finance Minister, Tito Mboweni, delivered the supplementary budget update. Minister Mboweni brought into focus the stark reality facing the South African government and the need for structural and political reform.

Some of the issues highlighted by the Minister were the large decline in tax revenue. Tax revenue is forecast to decline by over R304 billion. Other key points highlighted by the Minister

  • Government borrowing will have to increase
  • A far greater budget deficit is forecast
  • Debt servicing is becoming increasingly unaffordable

In closing, the Minister warned that if structural reforms were not implemented timeously, South Africa could face a sovereign debt crisis. To read more on the supplementary budget update please click on the link to read the thought’s of Stanlib’s Chief Economist, Kevin Lings.

Book your free initial conversation
what is a retirement annuity

What is a Retirement Annuity? A Secure Way to Save for Your Future

Introduction to Retirement Annuities What is a retirement annuity? Planning for retirement is a crucial aspect of financial management. One avenue many individuals explore to secure their financial...
Read More
Monthly Newsletter – April 2023

Monthly Newsletter – April 2023

Grey-listing – What does it mean for South Africa? Over the past few months, we have received numerous enquiries about South Africa’s Grey- listing. We hope to provide some insight...
Read More
January 2022 – Monthly Newsletter

January 2022 – Monthly Newsletter

Taxes, Taxes, Taxes! On 4th January 2022, Acting Chief Justice Raymond Zondo released the Judicial Commission of Inquiry into State Capture Report Part 1. The Commission was set up to...
Read More