SA pushing for a bigger slice of Sacu revenue
Ministers ask parliament for support in deadlocked negotiations on revenue-sharing formula
The government is pushing for a bigger slice of the revenue generated by the Southern African Customs Union (Sacu) but is facing a wall of resistance from its neighbours. Restructuring the revenue-sharing formula which sees the lion’s share of revenue going to SA’s neighbours could release badly needed funds to meet the country’s dire fiscal challenges. The ministers of finance and trade & industry said on Tuesday that they wanted parliament’s support to push for a change in the revenue-sharing formula and to resist attempts to fundamentally restructure the tariff-setting mechanism. Finance minister Nhlanhla Nene and trade & industry minister Rob Davies briefed parliament’s finance and trade & industry committees on Tuesday about the deadlocked negotiations. The committees resolved to support their stance and to submit their decision to the National Assembly for endorsement. This will strengthen the position of SA’s negotiators during the talks.
Nene told MPs that very little ...