Report of the standing committee on finance

CONTRIBUTION BY
HON. INKOSI MZAMO BUTHELEZI MP

IFP Deputy President and Spokesperson on Finance
on the
Report of the standing committee on finance on the 2020 fiscal framework and revenue proposals

NATIONAL ASSEMBLY: 11 MARCH 2020

Honourable Speaker

The budget speech delivered by Minister Mboweni, was honest and straightforward.

The Minister sketched a very grim economic outlook which in turn means that our future is not secure.

Our economy he said, is failing to even meet GDP growth of 1%, thus the masses of our unemployed will remain on the jobless benches.

Therefore, news of our country slipping into a technical recession came with no surprise and is indicative of what is yet to come with regards to our credit rating.

Okubuhlungu kakhulu Nqonqoshe ngukuthi lolu swebhu luthwansula abantu abangafanele nabangenalo icala lazo zonke lezi zinkinga izwe lethu elibhekene nazo. Nalaphoke uhulumeni ezisika inqulu ezama ukonga, abantu abazolahlekelwa kakhulu ngabampofu nabahluphekayo.

Bukanje nje iminyango ezothinteka. Umnyango wezokuhlaliswa kwabantu, ngaphi kweqiniso elithi izigidi zabantu bakithi abanamizi – abahlala emijondolo, ukuhleshulwa kwi-Municipal Infrastructrure Grant, okuyimali ehlinzeka abantu basemakhaya ngamegwaqo, kanye nokuhleshulwa emalini yezemfundo. Lokhu kuyishwa elikhuli.

The truth is, economic salvation promised by political freedom three decades ago has not materialised despite all the promises and all the talk-shops and all the resources which have been dumped into the hands of the few and not the many.

We can grow the economy and develop the local market, when we place our resources and strengthen our efforts in building capacity in the hands of the people who reside in our townships and in our rural areas.

Because, we believe that the local development of our economy, will impact more lives and lift more people out of despair than narrowing our focus on only attracting foreign direct investment.

We welcome the Minister’s commitment to fighting the real enemies of our people.

Our people continue to suffer because of rampant corruptionlack of consequences for wrongdoing and poor administration and financial control by those who are elected or appointed in our local, provincial and national departments or governments.

Honourable Speaker,

The IFP maintains that it is not a time for us to panic as a country in a time of recession or  now that we face more challenges such as  rising oil prices, the outbreak of corona virus – the world over, or markets plummeting as stocks fall and fears rise.

This is time for us to save less and to spend more as government, the private sector and as ordinary citizens; because if we save too much we will place strain on the economy, at a time that we should actually be circulating our rand.

We believe that it is a time in which all South Africans work together to turn this tide and that government effectively stimulate the economy by ensuring that it supports industries which have shown poor growth figures and by pushing real rigorous reforms in the management of our SOEs and furthermore to focus our attention on other key sectors which are unable to get off the ground.

We need to grow our local small, micro and medium enterprises within our economy, if we want to effect real meaningful economic justice for all our people.

Contact:

Inkosi Mzamo Buthelezi MP

IFP Deputy President and Spokesperson on Finance

072 390 6112