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MPs to discuss indebtedness in SA

14th May 2003

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Parliament's finance portfolio committee is considering holding public hearings on the worrying state of indebtedness among South Africans.

The committee's chairwoman Barbara Hogan said yesterday a recent study by Tradek economist Mike Schussler had shown interesting developments on debt in the country.

"I would like to have a hearing on this, because I think it is in the public interest," she said.

Last month, Schussler said five times more South Africans were affected by debt judgments than were contracting HIV/Aids daily.

"Yes, that's 3 000 people a day getting into serious trouble for debt.

"You might not die from debt, but people do get blacklisted and taken out of the economy - sometimes up to a decade or so, if placed under administration," he said.

Schussler said his research suggested the crisis was costing the economy about R500-million a month. – Sapa.
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