SA does not have a specific target in terms of reducing the debt-to-GDP ratio, National Treasury director-general Dondo Mogajane said on Tuesday. Ratings agencies have often highlighted that SA needs to return the fiscus to a sustainable path by reducing debt levels and the budget deficit, and also improving economic growth. Speaking during the Distinguished Speakers Programme at the University of Cape Town Graduate School of Business, Mogajane said SA was stabilising its finances with the debt-to-GDP ratio now forecasted to stabilise at 56.2% in 2022-23, down from the 60% that was projected during the medium-term budget policy statement late in 2017. "We do not have a target [in terms of the debt-to-GDP ratio] … we are always asked this question: What’s your target range? We do not have a target range. What is making us comfortable, and this is the story that Moody’s bought into and they have always known us to be saying that, is stabilising at a number unlike if it is shooting thr...
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