“The Inkatha Freedom Party was hoping to see a far more austere outlook by
Minister Nene in his Medium Term Budget Policy Statement today, particularly in
light of his revised estimate of 1.4% for economic growth which was way below
the initial treasury projections at the beginning of 2014,” said IFP
spokesperson on Finance, Ms Sibongile Nkomo, MP.

Nkomo further added that,” It is also likely that because of this growth
stagnation we will not be able to meet our current debt and deficit targets this
year, or for the next few years to come which reinforces our call upon Treasury
to tighten the fiscal belt in terms of spending, especially when using debt to
finance such spending.”

“Our public services remain bloated which places a dangerous financial burden on
the fiscus, especially in times of such slowed economic growth, and this should
also be addressed as a matter of urgency,” concluded Nkomo, MP.

 

Issued by IFP