Soundbite by Dr Mark Burke MP.
For 15 years, the DA has been championing the lowering of government debt. Finally, this has been achieved and debt will peak this year.
There is much to like about MTBPS 2025. A deficit that’s smaller than predicted in May and debt to GDP which is stabilising this year and then predicted to come down as a share of the economy for the first time since 2008. After 15 years of reckless borrowing under ANC majorities, this government— with the DA inside — is finally committed to stopping the debt spiral.
Ideas that the DA has fought for is all over MTBPS 2025. The initial signs of a spending review culture is taking root – the first fruits are expected to save R6,7 billion. We also welcome the update on ghost worker audits, with almost 9 000 cases flagged.
Where additional spending is taking place it’s often calculated and geared towards long term growth. This includes digitisation at Home Affairs and early childhood development funding.
The budget also provides certainty and monetary and fiscal policy allignment by announcing a shift to a three percent inflation target. We support the certainty on the new inflation targeting regime.
There is still much more to do that the DA will continue to champion and fight for within the GNU. GDP growth predictions remain low. Gross fixed capital formation needs to increase. Reforms, while welcome, are not taking place fast enough, particularly at Eskom and Transnet.
While the MTBPS is a major step in the right direction, the DA continues fighting for better fiscal policy that results in more growth and less waste. We’re pleased to keep championing a a culture of change in the GNU.