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The African National Congress (ANC) welcomes the announcement by government
to terminate the contract to purchase eight A400 Airbus strategic lift
aircrafts. We are in full agreement that the interests of the " South
African tax payers" would not have been best served by proceeding with the
contract.

We also agree with the assertion by government that the "cost escalations on
this project would have placed an unaffordable burden on the taxpayer at a
time when the national fiscus is under pressure due to the economic
downturn".

This termination of the contract by government will see government utilising
the retained funding for key government priority areas, such as the creation
decent work and sustainable livelihoods for the majority of our people.